Having reached their all-time maximum, futures on corn closed in uptrend, yet concerns over the reserves reduction withheld decrease in quotations.
By the end of CBOT trades May futures lost 4 cent (0.5%) and dropped thus down to 7.59 US dollars per bushel. Earlier during the session the contract reached an intraday high of 7.73 ¼ US dollar per bushel.
Futures on corn grew more than 2-fold since last summer amid intense demand on the part of ethanol and cattle producers. Thursday last week the US Agriculture Department announced decline in the corn reserves by 15% which ruffled the market and caused an abrupt spike of quotations up to their all-time highs.
Economists forecast that the corn reserves will hit a new all-time high of 595 mln. bushels by August 31, 2011. As compared to the previous month it is a decline by 11.9%.
Earlier during the session futures on corn showed a sharp decrease amid news about the 7.1 earthquake in Japan which brought about uncertainties on the market and growing concerns over further weakening of demand for grains on the part of Japanese companies.
