Corn (P) Futures PricesTuesday, May 22nd, 2012

Corn futures took a massive hit on old crop today with new crop also getting smacked. The rumor mill was talking about China cancelling some existing corn orders. China has imported 1.76 MMT for the first four months of the year according to China Customs Statistics Information Center in Hong Kong. The U.S. has supplied 706,697 MT of those imports for the first four months. The rise in the dollar as a result of Greek announcing they do have an implementation plan should it be necessary for them to leave the Euro community pressured the outside markets and impacted the grains. Corn planting way ahead of the five year average also contributed to today’s bearishness. There is a lot of time left in the growing season with the next seven days soil moisture predictions looking for a cooler wetter pattern for NE, MN and WI with IA, IN and IL drier. However the latest 6 to 10 day outlook shows a cool front coming down from the north and bringing above normal moisture to a large portion of the growing area. Futures prices continue to meet resistance on rallies to the 100 day moving average. Corn stocks at select export elevators and terminals were down 3.497 million bushels from the previous week with gulf basis levels at a premium recently. The biggest draw down was at river points.

Jul 12 Corn closed at $5.97, down 36 cents,
Sep 12 Corn closed at $5.26, down 22 1/2 cents,
Dec 12 Corn closed at $5.22, down 18 1/2 cents
Dec 12 Corn closed at $5.22, down 18 1/2 cents