Corn futures experienced a pullback during Wednesday morning trading following a strong Tuesday session. Prices declined 7 to 8¼ cents, reversing some of the previous day’s gains when futures had advanced 6 to 8¾ cents across most contracts to reach new highs. Despite the midweek retreat, market activity remained noteworthy, with open interest increasing by 19,874 contracts on Tuesday, suggesting net new buying pressure underlying the market.
September corn futures closed at $5.21½ on Tuesday, up 6½ cents, and were down 7¼ cents by Wednesday morning. December 2026 contracts closed at $5.46, up 8¼ cents, and were down 8½ cents in current trading. March 2027 contracts finished at $5.60¼, gaining 8 cents, and were down 8¼ cents. The nearby cash market closed at $4.99¾, up 7¼ cents. An additional 203 deliveries were issued against September corn overnight.
Fundamental factors continued to influence market sentiment. The USDA’s monthly Grain Crushing report released Tuesday showed 474.7 million bushels of corn were used for ethanol in July, representing a 2.3% increase from the prior month and a 3.75% gain year-over-year. Meanwhile, crop condition ratings remained stable at 47% in good to excellent condition, though the Brugler500 index declined one point to 347, reflecting a shift from excellent to good ratings in some areas.
Geographic crop developments were mixed across major producing regions. Illinois, Iowa, Minnesota, North Dakota, Ohio, South Dakota, Texas, and Wisconsin all reported deteriorating conditions, while Colorado, Michigan, Missouri, and Nebraska showed improvement. In Brazil, the first corn crop was estimated at 29.3 million metric tons by StoneX, up 0.5 million metric tons from their previous assessment.
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