Corn Hits 3-year High

Corn increased to 550.00 USd/BU, the highest since July 2023. Over the past 4 weeks, Corn gained 10.48%, and in the last 12 months, it increased 28.75%.

Corn futures rose above $5.3 per bushel, near their highest level since mid-2023, supported by tightening global supplies. The USDA now projects global corn production to fall short of consumption by nearly 30 million metric tons in 2026/27, which would mark the largest deficit in more than 30 years, with lower output among major exporters and continued disruptions to grain shipments from the Black Sea contributing to the shortfall. Brazil is also expected to divert more corn toward ethanol production, potentially reducing export availability, while lower planting growth could further tighten supplies. However, the advancing US harvest is providing some pressure, with 8% of the crop harvested by September 13, ahead of the five-year average, while 57% was rated good to excellent, up from 56% a week earlier. Meanwhile, initial US-China trade talks were described as positive by both sides, raising hopes for increased Chinese purchases of US agricultural goods, potentially including corn.

Corn futures held above $5.3 per bushel, remaining near their highest level since mid-2023 as supply risks in the Black Sea region continued to support prices, while traders weighed the USDA’s latest supply-and-demand report. The September USDA report cut the US 2026/27 corn yield forecast to 178.5 bushels per acre from 180.7, lowered production to 15.8 billion bushels from 16.013 billion, and reduced ending stocks to 1.567 billion bushels from 1.653 billion. The lower forecasts reflected expectations for a smaller US harvest following hot summer weather and concerns over crop conditions. Meanwhile, continued Russian attacks on Ukrainian ports and logistics are also threatening grain flows, forcing Ukraine to reroute more exports through the Danube. This is helping Argentina capture additional demand, with its corn exports expected to reach a record 10 million metric tons in August–September, partly filling the gap left by disrupted Ukrainian supplies.