July corn was trading 5 cents higher late in the overnight session. China futures were up 0.2% overnight. Outside market forces look mixed with choppy trade in equities and slightly weaker energy and metal markets. With Decatur Illinois corn bid at 43 cents premium to July corn and May corn trading at a 17 cent premium to July corn, traders are not looking for any deliveries against the May contract next week. This leaves the potential for a very volatile expiration period for May corn and could help support July corn. May corn closed sharply higher yesterday while July was moderately higher into the close but on the highs of the day and December corn recovered from moderately lower on the day late in the session but still closed lower. Aggressive buying emerged late in the day for old crop corn. A firm basis market at the gulf and talk that the offers were pulled for delivery in the next few months due to a lack of producer selling helped to support. Weekly export sales came in at 645,600 metric tonnes for the current marketing year and 180,600 for the next marketing year for a total of 826,200. As of April 19th, cumulative corn sales stand at 83.3% of the USDA forecast for 2011/2012 (current) marketing year versus a 5 year average of 80.3%. Sales of 374,000 metric tonnes are needed each week to reach the USDA forecast. The data suggests that the USDA may be in a position to raise their export forecast in the May 10th update. December corn was lower into the mid-session with talk of active planting in Iowa and ideas that the crop will get off to a fast start this year. The Buenos Aires Grains Exchange reduced their corn production estimate by 1 million tonnes from their previous estimate to 19.8 million tonnes as compared with the April USDA forecast of 21.5 million tonnes. With the poor winter wheat situation and shift to corn acres, Ukraine may be in a position to export near 15 million tonnes of corn from 14 million for the 2011/12 season and just 5 million the previous few years. The International Grain Council left their world production forecast for this year at 900 million tonnes, up 4% from last year but world consumption is expected to expand to 893 million tonnes. Open interest has come down rapidly since the April 18th lows with talk of some short-covering helping to fuel the recovery bounce.