Morning Market Review by Bryce Knorr
Futures are trading lower across the board this morning, with weakness also being seen in outside markets as worries about the global economy grow.
Corn prices are trying to firm off overnight lows, ahead of the pit open in Chicago. December futures so far is holding to an inside day lower, with private forecasts for a larger crop taking some of the edge of last week’s bullish stocks report.
While rising crop ratings suggest yields may be 3 to 4 bushels higher than preliminary indications, questions about acreage persist, creating a wide range of estimates from 10 billion to 11 billion bushels. Farmers continue to make fast work of harvest, with only light storms expected this week in most areas to slow progress.
Demand news could also be in play today, with release of the ethanol production data from last week, when plant markets were negative.
Volume in Chicago continues to weaken, falling 16% to 201,743, according to the preliminary report from the CBOT. Open interest rose 5,132, with a little fund buying noted yesterday.
Futures on the Dalian exchange in China are closed through Friday for the Golden Week holiday. Corn in Paris was down .42% overnight.