CBOT corn slightly rises as yield and supply data may decrease

Chicago, January 9th News: On Thursday, corn futures on the Chicago Board of Trade (CBOT) closed higher, with the benchmark period closing up about 0.6%, the third time it has risen in four trading days. However, the trading range has narrowed, leading to continued range volatility in the market

As of the close, corn futures rose by 0.75 cents to 2.25 cents, with the March futures up about 2 cents to close at 456 cents per bushel; The May period rose by about 2 cents, closing at 464.50 cents per bushel; The July period rose by approximately 2.25 cents and closed at 468 cents per bushel.

The most active trading range for March futures is between 453.50 cents and 457.25 cents.

The US Department of Agriculture will release its January supply and demand report on Friday. Analysts predict that the US corn production for 2024/25 will be 15.095 billion bushels, which is 58 million bushels lower than last month's forecast. The estimated harvest area may be reduced by 72000 acres to 82.638 million acres, and the average yield may be reduced by 0.3 bushels to 182.7 bushels per acre.

The US Department of Agriculture will also release its quarterly inventory report for the period ending December 1, 2024 on Friday. Analysts expect corn inventory to be 12.147 billion bushels on December 1st, a decrease of 24 million bushels compared to the same period last year.

On Thursday, corn basis quotes at the Illinois River Pier rose by 5 cents to fell by 3 cents, while basis quotes in other parts of the central United States remained stable.

According to sources familiar with the Biden administration's plans, President Biden will release short-term guidelines on the clean fuel tax credit policy on Friday, but the final decision will be left to the incoming President Trump.

In other news, on Thursday, FLC, one of the South Korean feed raw material procurement groups, privately negotiated to buy 65000 to 70000 tons of feed corn.

Sources say that Algerian national grain buyer ONAB failed to purchase any supply through the 240000 ton corn tender that ended on Tuesday.

On Thursday, the Tunisian National Grain Agency purchased 75000 tons of barley through bidding. The Jordanian Ministry of Trade (MIT) held a tender to purchase 120000 tons of feed barley. The deadline for bidding is January 15th.

On Thursday, the estimated trading volume for the benchmark period was 132218 lots, compared to 168344 lots on the previous trading day. The short position is 706036 lots, compared to 718953 lots on the previous trading day.