Nearby corn futures rise on tight stocks
U.S. corn futures are mixed Friday morning, with nearby futures up on worries about tight current supplies.
Chicago Board of Trade futures for July delivery, which are thinly traded ahead of the contract's expiration on July 12, are up 4 3/4 cents or 0.7% at $6.83 a bushel.
December corn, associated with supplies to be harvested this fall, is down 3 3/4 cents or 0.7% at $4.99 a bushel.
Corn supplies have been tight since last year's harvest was sharply reduced by the historic U.S. drought. Strong corn demand from ethanol producers is helping keep supplies scarce.
Export demand has generally been weak for months as other countries undercut U.S. corn prices. But corn export sales in a weekly government report on Friday were in line with expectations.
The U.S. Department of Agriculture reported net export sales of corn in the week through June 27 totaled 314,500 metric tons, including 233,100 tons for delivery in the current marketing year that ends Aug. 31. Analysts had expected total net sales of 250,000 to 500,000 tons.
Separately, the USDA on Friday said private exporters reported selling 120,000 metric tons of corn for delivery to unknown buyers during the 2013-14 marketing year.
Deferred corn futures are lower, as analysts continue to expect a large harvest this fall to replenish supplies. Weather forecasts remain generally favorable for U.S. crops.
For the next five days, the National Weather Service forecasts rainfall ranging from a quarter-inch to two inches through most of the Corn Belt. The heaviest rains will fall from southeastern Minnesota to Ohio.
The NWS's six- to 10-day and eight- to 14-day outlooks predict above-average chances of rain in much of the Corn Belt, with average chances in Minnesota, northeastern Iowa and northern Illinois. Temperatures are mostly expected to be below-average.
Write to Owen Fletcher at firstname.lastname@example.org
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(END) Dow Jones Newswires
July 05, 2013 10:22 ET (14:22 GMT)
DJ U.S. Corn Trades Mixed; Nearby Futures Rise on Tight Supplies->copyright