Ninety-four percent of corn is in the dough stage, 17 percent is mature and harvest is under way in the North Delta.

Bullish news: Corn yields are lower than expected. Another 1 bushel drop means the total production is down another 81 million bushels. The EPA is expected to approve ethanol blends of 15 percent in gasoline. Ethanol production is 17 percent above last year.

Export inspections increased 2 million bushels to 45 million. Demand from Asia is increasing as their economies improve. Brazil exported a million tons of corn but U.S. weekly export sales were over 1.6 million tons. Exports exceeded market anticipation by a half million tons.

China has flood damage in corn growing regions. The state released 1.6 million tons of corn from reserves for sale into domestic markets to keep prices down. Less than 600,000 tons were actually purchased.

Bearish news: Trader profit taking has begun as harvest started. Even fund traders have sold 250 contracts. Weakening economic factors could limit meat production and therefore feed use. Feed and fuel use in the United States are not expected to increase and supplies are adequate.

USDA left the corn condition rating at seventy percent good to excellent. This anticipates yields to average at least 164 bushels. World corn production estimates reach as high as 845 million tons.