Corn futures at the Chicago Board of Trade fell on Thursday amid active seedings of the US 2007 corn crop, traders said. "Right now, the farmer is going hell-for-leather trying to get it in the ground. You can't even contact them, they are so busy," said Gavin Maguire, analyst for Iowa Grain.
CBOT corn futures closed 3 to 7 cents per bushel lower, with July down 3 at $3.73 per bushel. New-crop December was down 7 at $3.70-1/2. Volume was estimated by the CBOT at 216,996 corn futures and 42,676 options. Generally good crop sowing weather is evident in the US Midwest, giving farmers an opportunity to plant what is expected to be the largest area to corn since 1944.
Informa Economics on Thursday pegged this year's US corn acreage at 90.6 million, up from USDA's March forecast for 90.454 million and well above last year's 78.3 million. "You had Informa out today with a big acreage number for corn," Maguire said.
"I suppose their thinking is, the momentum is behind the farmer in getting the corn in the ground. There is no reason right now to think that will change," he said. Corn prices hovering around 10-year highs have prompted producers to plant corn at the expense of soy amid growing demand for corn from the ethanol industry.
Wet weather early in the planting season has been replaced by generally good conditions for crop seedings. Cool temperatures and some frost were expected in the northern Midwest early on Thursday, but no harm likely was done to crops, DTN Meteorlogix weather said.
There will be a drying trend over the next several days in the eastern Midwest, which will improve planting conditions through early next week, Meteorlogix said. Corn futures found little if any support from a big number for corn in the US Agriculture Department's weekly export sales report released early Thursday.