Photo by Jesse Gardner on Unsplash

On the Corn Front as we are gearing up for the Crop Production, USDA Supply/Demand and WASDE data. The Manheim Used Vehicle Index released on Wednesday showed used vehicle prices declined in May compared to April. The Index was down 2.7% and compared fell 7.6%. Compared to a year ago pick-up truck prices declined 4.6%, compact cars were down 7.2%, and vans were 7.5% cheaper. Is this a sign of a robust economy? Must be government meddling and regulation hurting the bread basket of America is feeling the pinch. Higher prices on fertilizer, diesel fuel and the list continues. So much for the bang in your buck. Farmers are not only paying for the government but also have to contend with Mother Nature. We are facing parabolic temperatures, heat and soil moisture is very important at this stage of the game. Canadian weather models keep rain confined to the Central Plains and Delta. The 10-Day precipitation is expected to below average in the Midwest states of Iowa, Illinois, Indiana, and Ohio. Todays report may shed light on where the grain futures are going keeping doubt with economics and fundamentals with volatility. In the overnight electronic session the July corn is currently trading at 606 ¼ which is 4 cents lower. The trading range has been 609 to 604.

On the Ethanol Front the USDA reported distiller grains exports were down in April. The US exported 125.69 gallons of ethanol and 777,617 metric tons of distillers grains in April. The 125.69 million gallons of ethanol exported in April was down 132.27 million gallons exported the previous month and down 185.19 million gallons from a year ago. The US exported ethanol to three dozen countries. Canada was the top destination with exports at 46.93 million gallons, followed by the Netherlands 15.07 million gallons, and India at 131.17million gallons. The value of US ethanol exports reached $332.02 million in April, down from $341.93 million in March and down $495.02 from a year ago. There were no trades or open interest in ethanol futures.

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