DDGS prices supported by Chinese and domestic demand

In Illinois, DDGS prices are finding support from increased Chinese buying combined with domestic buying that had been holding off on purchases due to higher prices but can no longer wait as stores get thinner. July prices are still running at a discount to July 2015 but they are stronger than in June, indicating the market is preparing for a period of stronger prices until more volumes become available. Front-month prices are the only ones running at a premium, however, as contracts further out continue to trade at a discount.