yup, wasn't negative for long....
Corn trade is 5 to 7 higher at midday in slow trade. The USDA report was
negative for corn versus expectations with a steady carryover. Most view it as
the USDA is just waiting to assure demand is proven before lower the carryover
as the March 1 stocks report suggested and what the market expected coming into
this report. So the report had the market lower on the open, but we returned to
the higher trend rather quickly. If the old saying "don't let them out on a
Friday" comes out today, we will see shorts get squeezed heading into the
close. Margin calls have been big with short losses and higher margin
requirements. The USDA did raise ethanol usage by 50 million but also lowered
feed usage by 50 million, so the report did have some logic to it, especially
thinking the higher prices may slow demand the remainder of the crop year. The
world carryover was 122.43 million tons which was 1.4 million tons greater than
the trade expectation.