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Teucrium Corn ETF (CORN)

  • Aug. 10, 2012, 4:16 AM
    A USDA survey of 27,000 farmers is today likely to show the depth of damage the drought has wrought, with the department expected to forecast that the 2012 corn harvest will slump 11% and that yields will be 23% below normal. The soybean harvest will probably fall 8% and yields 9%. At least most of the wheat crop has escaped the damage and production is seen exceeding 2011.
    | Aug. 10, 2012, 4:16 AM | Comment!
  • Aug. 8, 2012, 6:15 PM
    “The drought should prompt a rethink of U.S. over-reliance on corn," William Moseley writes. "Farmers in the central plains used to grow a greater diversity of food and forage crops… But they gradually opted to grow more and more corn thanks to federal agricultural subsidies and expanding markets for corn in animal feed, corn syrup and ethanol."
    | Aug. 8, 2012, 6:15 PM | 3 Comments
  • Aug. 7, 2012, 3:26 PM
    Surging corn prices likely will have a ripple effect on other agricultural commodities such as wheat, Goldman Sachs says. Wheat feeding will be required to supplement corn use to limit livestock liquidation, the firm believes, resulting in "a smaller wheat-to-corn premium than currently priced into the CBOT future curves."
    | Aug. 7, 2012, 3:26 PM | 1 Comment
  • Aug. 7, 2012, 8:38 AM
    The condition of U.S. corn and soybean crops continues to get worse as the drought drags on. According to the USDA, ~39% of soybeans were rated poor to very poor as of yesterday vs. 37% a week earlier, while 50% of corn got the lowest ratings vs. 48% a week earlier. 23% of corn was rated good or excellent, marking the ninth straight weekly decline in the longest slump since at least 1986.
    | Aug. 7, 2012, 8:38 AM | 4 Comments
  • Aug. 6, 2012, 10:57 AM
    Rains over the weekend and more forecast for this week are helping send the grains lower. Much of the damaged corn crop is beyond repair, but beans should see a benefit from the water and cooler temperatures. New crop corn -1.4%, New crop beans -2.6%.
    | Aug. 6, 2012, 10:57 AM | 2 Comments
  • Aug. 1, 2012, 12:20 PM
    Price spikes in corn tend to be followed by consolidation periods lasting several months, but even if the easy money has been made, Ned Davis Research says specialty chemicals should still outperform. Stocks with high sensitivity to the price of corn - including POT, MOS, CF and ROC - have beaten the S&P 500 by an average ~25% in the year after a corn spike.
    | Aug. 1, 2012, 12:20 PM | 1 Comment
  • Jul. 30, 2012, 8:18 AM
    Grain futures rally sharply following their first week of decline since early summer as a little bit of rain fails to stem reports of crop damage. While soybeans could still be saved by decent rainfall, a good portion of the U.S. corn crop is past the pollination stage and beyond repair. Sept. Corn +2.7% to $819/bushel, Sept. Beans +2.3%, Sept. Wheat +2%.
    | Jul. 30, 2012, 8:18 AM | 1 Comment
  • Jul. 27, 2012, 11:32 AM
    Smithfield Foods (SFD) CEO Larry Pope calls on Congress to pass a bill lowering the U.S. government's Renewable Fuels Standard, which requires a certain volume of ethanol - 15.2B gallons in 2012, mainly derived from corn - be blended into gasoline. Corn prices have hit record highs, but the program is "aggravating the problem and adding to the crisis," Pope says. (also)
    | Jul. 27, 2012, 11:32 AM | 3 Comments
  • Jul. 24, 2012, 12:29 PM
    The grain rally falls off the tracks as both corn (down $0.40) and beans (down $0.70) are locked limit down at the CBOT.  At $7.74 bushel, corn is off 5% on the session. Wheat isn't yet limit down, but is off 6.3%. Smithfield (SFD) hurriedly revisits its decision. JJG -5.5%.
    | Jul. 24, 2012, 12:29 PM | 1 Comment
  • Jul. 19, 2012, 3:28 PM
    Interesting action in the Chicago pits today, where old crop (Sept) corn soared another $0.18 to a record $8.13, but new crop (Dec, March) fell, the spread between the two shooting higher late in the session. The divergence suggests at least some optimism for a reasonable crop to come in, no? CORN -2.3% as the action in the new crop months overwhelmed the record price move.
    | Jul. 19, 2012, 3:28 PM | 5 Comments
  • Jul. 19, 2012, 5:49 AM
    Corn and soybean prices reach record highs as the worst drought since 1956 shows no signs of abating, with corn futures hitting $8.055 a bushel and benchmark soybeans $17.115. The forecast is for even higher temperatures in the central and western Midwest from early next week. "If I had a rain prayer or a rain dance I could do, I would do it," says Agriculture Secretary Tom Vilsack.
    | Jul. 19, 2012, 5:49 AM | Comment!
  • Jul. 17, 2012, 12:48 PM
    Projections of corn crop yields are still too high, according to a report from AccuWeather's Alex Sosnowski. The Accu crew expects a fall yield of 138 bushels/acre, lower than the latest USDA projection based on its forecast of ongoing heat and drought conditions. "Eventually, these costs will be passed along to the consumer in the form of higher food prices." (earlier)
    | Jul. 17, 2012, 12:48 PM | 3 Comments
  • Jul. 17, 2012, 8:55 AM
    Some sentiment numbers for the contrarians to chew over: 81% of clients are bearish on the euro for the next 6 months, according to JPMorgan (euro chart). Corn bulls rise to 95%, according to Jake Bernstein's Daily Sentiment Index (corn chart). Bond bulls are at 87% (bond chart). (h/t Thomas Thornton)
    | Jul. 17, 2012, 8:55 AM | 2 Comments
  • Jul. 16, 2012, 12:35 PM
    Rising corn prices (CORN +3.3%) continue to prove good news for shares of fertilizer products maker Rentech Nitrogen Partners (RNF +5.4%), up ~30% in the past month. Nitrogen fertilizer demand is driven by corn acreage and production yields, which are in turn driven by corn prices and gross farm revenue per acre.
    | Jul. 16, 2012, 12:35 PM | 1 Comment
  • Jul. 16, 2012, 12:13 PM
    If prices for corn (CORN +3%) are rising and demand is falling, why are BioFuel Energy (BIOF +25%) and Pacific Ethanol (PEIX +11.8%) enjoying such big spikes today? Production closures appear to have taken enough ethanol off the market to support rising costs of corn and put some profit back into ethanol makers, 24/7's Paul Ausick writes.
    | Jul. 16, 2012, 12:13 PM | 3 Comments
  • Jul. 12, 2012, 1:01 PM
    The latest U.S. Drought Monitor isn't pretty, showing substantial declines in "abnormally dry" and "drought-moderate" areas and a commensurate jump in those areas labeled "drought-severe" and "drought extreme," with "drought exceptional" creeping in as well. Corn rebounds from yesterday's sell the news action following the USDA report, +3.9%.
    | Jul. 12, 2012, 1:01 PM | 3 Comments
CORN vs. ETF Alternatives
CORN Description
The investment objective of the Fund is to have the daily changes in percentage terms of the Shares’ net asset value (“NAV”) reflect the daily changes in percentage terms of a weighted average of the closing settlement prices for three futures contracts for corn (“Corn Futures Contracts”) that are traded on the Chicago Board of Trade (“CBOT”), specifically (1) the second-to-expire CBOT Corn Futures Contract, weighted 35%, (2) the third-to-expire CBOT Corn Futures Contract, weighted 30%, and (3) the CBOT Corn Futures Contract expiring in the December following the expiration month of the third-to-expire contract, weighted 35%, less the Fund’s expenses. (This weighted average of the three referenced Corn Futures Contracts is referred to herein as the “Benchmark,” and the three Corn Futures Contracts that at any given time make up the Benchmark are referred to herein as the “Benchmark Component Futures Contracts.
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