Maize settled down -0.59% at 1183 as monsoon rains made progress towards growing areas of interior South India. The corn market is facing pressure as the weather has remained nearly perfect during the pollination phase which is key for yields. The market sources suggested that heavy rainfall in northern and central parts of India has augmented the sowing pace of maize crop. The harvesting of new maize crop will start from September- October month. The prices were also discouraged by higher stocks in local mandies as sources have reported total stocks of 15 lakh tonnes of maize against 10-12 lakh tonnes of the previous year in the same period. FCI, which normally procures wheat and rice in big way, has purchased about 12.15 lakh tonnes of maize from five states so far in the ongoing 2013-14 season, as per the official data. Bihar with an annual production of around 27-28 lakh tonnes is the second biggest maize producer in the country. Maize MSP stands at Rs 1,310 per quintal for this year. FCI, which normally procures wheat and rice in big way, has purchased about 12.15 lakh tonnes of maize from five states so far in the ongoing 2013-14 season, as per the official data. Technically market is under long liquidation as market has witnessed drop in open interest by -2.14% to settled at 29300 while prices down -7 rupee, now Maize is getting support at 1178 and below same could see a test of 1174 level, And resistance is now likely to be seen at 1189, a move above could see prices testing 1196.

Trading Ideas:

Maize trading range for the day is 1174-1196.

Maize fell as monsoon rains made progress towards growing areas of interior South India. The

The market sources suggested that heavy rainfall in northern and central parts of India has augmented the sowing pace of maize crop.

Sources report total stocks of 15 lakh tonnes of maize against 10-12 lakh tonnes of the previous year in the same period.

NCDEX accredited warehouses maize stocks gained by 254 tonnes to 26473 tonnes.