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Teucrium Corn ETF (CORN)

  • Jul. 9, 2012, 5:36 AM
    The USDA might cut its outlook for corn inventories on Wednesday due to the worst drought since 1988 and record global demand. Economists forecast stockpiles on Sept. 1, 2013, at 1.22B bushels, 35% below the USDA's prediction in June. However, 2012 production is still expected to rise 9.7% after farmers sowed the most acres since 1937, while the slowing global economy could halt the rally in prices.
  • Jul. 5, 2012, 5:35 PM
    Hot, dry weather isn't only plaguing midwestern farmers, as drought conditions also have hit areas in Russia and around the Black Sea, prompting reductions in grain forecasts. Yet food prices have been falling in recent months, and analysts such as Cowen's Colin Guheen expect “benign” inflation in 2012-13; he says the risk is not great for select food companies such as SFD and SWY.
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  • Jul. 5, 2012, 11:19 AM
    It's always a good idea to check the grains after July 4, and they're soaring again as no relief is in sight from the heat and drought. Adding fuel is the Ukraine, which lowered its corn crop estimate by 8% due to its own weather issues. A couple of headlines for the contrarians: "Corn is shining like gold," and "New dust bowl days on the horizon." CORN +2.5%, JJG +2.7%.
  • Jun. 29, 2012, 12:49 PM
    "Sell, Mortimer sell!" It's raining on LaSalle Street. Corn gives up big early gains as rain hits the home of the CBOT - a possible break in the brutal drought covering a good portion of the Midwest. CORN +16.8% this month.
  • Jun. 29, 2012, 10:39 AM
    2012 corn planted is estimated at 96.4M acres, says the USDA, +5% Y/Y and the highest planted acreage since 1937. Soybeans are estimated at 76.1M acres, the 3rd highest on record. Though both figures are higher than trade expectations, planted acres are not the same as harvested acres, and the drought continues. Corn and beans are sharply higher in early trade.
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  • Jun. 28, 2012, 3:13 PM
    Rising U.S. corn prices in the face of a Midwest drought have forced Valero Energy (VLO) to shut two of its 10 ethanol plants, each with the capacity to produce 120M gallons of ethanol per year. Rabobank analysts predict corn prices could rise another 25% by year's end on lower yields due to the weather, pushing prices near the all-time high of $7.99/bushel.
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  • Jun. 28, 2012, 2:50 PM
    Corn takes a breather from its big June run (up 27%), but a once-in-a-generation drought continues to bear down on the Midwest. A drought map shows the brutal conditions - originally centered on Indiana - making their way into Illinois and even Iowa.
  • Jun. 26, 2012, 10:29 AM
    Fertilizer stocks advance for a second day after the price of new corn rises to its highest since November on the government's report of greater than expected damage to corn crops. Also providing a lift is a Macquarie note that fertilizer companies should be able to significantly increase their dividends. AGU +1.5%, MOS +4%, POT +4%, CF +3.4%.
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  • Jun. 25, 2012, 8:58 AM
    Dahlman Rose raises its outlook on fertilizer shares, believing they largely reflect the valuation eroding impact of a large crop; given that backdrop, the firm sees only two possible outcomes, both of which point to higher share prices. It upgrades CF and POT to Buy from Sell, AGU, RNF and MOS to Buy from Hold, and IPI and UAN to Hold from Sell.
  • Jun. 21, 2012, 12:27 PM
    The commodity sector is lit up bright red - the markets (stocks too) apparently waiting until today to throw a tantrum over disappointment on no new QE. GLD -2%, SLV -3.6%, Copper (JJC) -2.2%. Crude oil takes out $80/barrel and more, now at $79.45, USO -2.1%. Corn -2.8%, Cotton -6%.
  • Jun. 19, 2012, 12:43 PM
    Corn futures are getting a charge this week over worries that hot, dry weather in the U.S. Midwest will threaten corn inventories, with July futures +3.5% yesterday and +4.7% midday today. Fertilizer companies jump as the higher likelihood of tight corn supplies next year means farmers will plant more corn, driving up the need for fertilizer: CF +4.8%, POT +4.4%, MOS +3.9%, AGU +3.2%.
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  • Jun. 6, 2012, 5:18 PM
    Two influential Canadian farm groups will urge the country's Competition Bureau to scale back Agrium's (AGU) proposed $1.15B purchase of Viterra (VTRAF.PK) farm supply outlets, saying the company might become too powerful in the sale of fertilizer and other crop supplies. AGU would become Canada's dominant retail seller of fertilizer, seed and chemicals.
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  • Apr. 27, 2012, 4:49 PM
    Corn prices jump 4.6% after the U.S. reports the sixth-largest export sale ever for the grain, which analysts believe is headed for China. The sale coincides with expectations of a large Chinese purchase, but it renews concerns that Chinese demand could stretch already-tight U.S. inventories, pushing prices above their recent trading range.
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  • Apr. 24, 2012, 11:28 AM
    A new biotech corn developed by Dow AgroSciences (DOW) could answer the prayers of U.S. farmers plagued by an epidemic of super-weeds, or it could trigger a flood of dangerous chemicals that may make weeds even more resistant. The new corn is engineered to withstand dousings of a common Dow-developed herbicide, but the volatile nature of the herbicide's 2,4-D component worries some.
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  • Apr. 10, 2012, 8:50 AM
    One reason for the continued bullishness on corn is a 4.3M ton reduction in world ending stocks thanks to higher-than-expected feed use demand out of China. Higher incomes = higher demand for meat. (earlier USDA report)
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  • Apr. 10, 2012, 8:44 AM
    The USDA sees corn ending stocks unchanged from last month's estimate of 801M bushels. Soybean ending stocks are reduced to 250M bushels from 275M, wheat to 793M from 825M. It's a slightly bearish number for corn as consensus was looking for lower stocks, but owners of the grain don't appear to be in a mood to sell yet. Wheat and beans are indicated to open solidly higher.
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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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