May Corn Finds Support on 50-Day Moving Average
Apr 18, 2018
May corn finds support on the 50 day moving average. Japan allows U.S. corn-based ETBE imports.
Grains Find Overnight Support on Moving Averages
May corn found support at the 50 day moving average. May soybeans turns higher in the overnight. Both 20 day and 50 day moving average are crossing at $10.37 and provide support below current prices. May Chicago wheat find support on 20 and 50 day moving average at $5.495.
Corn Acres Capped?
Winter storms, cold weather and excessive precipitation across the Delta and eastern corn belt has made U.S. fieldwork challenging throughout April. April is on track to be the coldest Midwestern April on record since 1895. Possibility for delay in fieldwork across the Midwest leaves less room available for farmers to plant more corn than forecasted in the march Acreage report.
Ethanol Trade Win in Japan
Japan announced its decision to allow U.S. corn based Ethyl Tertiary Butyl Ether (ETBE) after reviewing its sustainability policies. The decision allows US Ethanol to contribute up to 44 percent of Japan’s needs. Japan’s annual ethanol demand is around 217 million gallons.
Midwest- A winter storm warning across northern Iowa today is expected to deliver more snow to the region. A winter weather advisory stretches from eastern SD and northeastern NE into southern WI. The 6-10 day weather outlook expects drier than normal conditions across much of the Midwest, with a wetter outlook across ND, SD, NE and Kansas. Temperatures are expected to stay cool. Delta- The U.S. 1-5 day weather outlook expects the remainder of the week to remain dry weather in the Delta providing some opportunity for fieldwork and allowing for some planting progress. Weekend rain is expected to slow fieldwork in the area before it clears back up in the 6-10 day outlook providing fieldwork opportunities. KCBT Wheat- Rains are expected to bring moisture to the Plains at the end of the week. Rains in the western Plains are expected to continue in the 6-10 day outlook but turn dry again in the southern and eastern Plains.
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