Corn Futures Decline as Higher Brazil Crop Forecast Weighs on Market
Corn Futures (CBOT:ZC1!) slipped during midday trading, reversing earlier attempts to gain as prices fell between 2 and 3 cents across active contract months. The national average cash corn price dropped 2 1/4 cents to $4.39 per bushel. December 2026 corn contracts dipped to $4.78 1/2, while March 2027 contracts fell to $4.92 1/4.
Pressure on corn prices mounted following updated agricultural forecasts from Brazil showing an expected 2026/27 crop yield of 148 million metric tons, up 2.4% year over year. A significant portion of this growth stems from an 8.9% jump in first-crop production to 32.1 million metric tons, driven by a 10.72% expansion in planted area. Simultaneously, weekly energy statistics showed domestic ethanol inventories rising by 199,000 barrels to 23.942 million barrels as exports fell by 45,000 barrels per day.
Market participants will continue monitoring South American planting conditions and weekly demand metrics to evaluate whether global supply growth will keep upside price movements constrained over the coming months.
Key points
- Corn futures dropped 2 to 3 cents during midday trading, with December 2026 contracts falling to $4.78 1/2 per bushel.
- The national average cash corn price declined by 2 1/4 cents to $4.39 per bushel.
- Brazil's projected 2026/27 corn crop was revised upward to 148 million metric tons, a 2.4% increase year over year.
- Ethanol inventories grew by 199,000 barrels to 23.942 million barrels, while weekly ethanol exports dropped to 121,000 barrels per day.
Written by our AI from expert market sources across the web. It can contain mistakes: check the facts before acting on them. Write-ups powered by the free AI API at FreeTheAI.org
How we writeDisclaimerQuestions and answers
Why did corn prices drop today?
Corn prices fell due to higher production forecasts from Brazil for the 2026/27 crop year and a rise in U.S. ethanol inventories driven by declining export demand.
What is the latest Brazilian corn production forecast?
The 2026/27 Brazilian corn crop is projected at 148 million metric tons, representing a 2.4% increase from the previous year, with first-crop production rising 8.9%.
How did U.S. ethanol inventory levels change?
Ethanol stocks increased by 199,000 barrels to reach 23.942 million barrels, despite average daily production rising to 1.065 million barrels per day.