Corn (P) Futures PricesWednesday, May 23rd, 2012

Corn futures are trading steady to a penny lower. Prices were down sharply Tuesday. The rumor mill was talking about China cancelling some existing corn orders. Later versions had them rolling to new crop instead and neither have been confirmed. Futures prices continue to meet resistance on rallies to the 100 day moving average. Preliminary OI data shows longs liquidated only 2,422 corn contracts in the big sell off yesterday despite estimates that fund traders had sold 25,000. There is definitely rolling out of the July contract, where OI was down 9,200. There are still 504,739 to go! 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 stocks reduction was at river points. Chinese futures were 7 cents lower.