Corn stronger in light trading
December corn traded over 7 cents lower Thursday before recovering to close 10 1/2 cents higher. It closed at $6.55 1/2, which would compare to the recent high at $6.58. With the US planting season approaching there is some concern that wet weather might delay the early plantings pace across parts of the Corn Belt.
The 2010/11 US corn supply/usage balance has no room for late plantings and lower yields. July corn traded 13 1/2 cents lower then recovering slowly to close unchanged on the back of the strength to December corn. It is uncertain whether the volume of July-December spread action was enough support the December corn recovery.
Some would argue that the inability of the July-December spread to make new highs is an indication that at least some are comfortable with the prospect of solving the old-crop US corn tightness.
