Corn Market Gains Ground Ahead of Key USDA Report

The corn market experienced modest gains on Monday, with prices advancing by fractional amounts up to 4 cents. This movement was supported by pre-report positioning and strong export figures. CmdtyView’s national average Cash Corn price rose by 3 1/2 cents, reaching $4.32 1/2.

Strong Export Activity

This morning, the USDA announced a significant private export sale of 126,000 metric tons (MT) of corn to Japan for the 2024/25 marketing year.

Weekly Export Inspections Highlight Growth

The Export Inspections report released this morning indicated a shipment of 1.819 million metric tons (71.64 million bushels) of corn during the week ending March 6. This figure marks an increase of 34.54% from the previous week, a marketing year high, and is 56.04% higher compared to the same week last year. Japan was the largest destination for corn, importing 399,293 MT, followed by Mexico with 391,083 MT and South Korea with 209,098 MT. Year-to-date exports now total 29.078 MMT (1.145 billion bushels), which represents a 33% increase from the same period last year.

Analysts Anticipate Adjustments in USDA Report

As the USDA report is set to be released on Tuesday, analysts predict a reduction in the US corn carryout projection by 24 million bushels, bringing it down to 1.516 billion bushels. On a global scale, traders expect a decrease in Argentina’s corn production by 1 MMT to 49 MMT, while Brazil’s output remains steady at 126 MMT. Overall, the world carryout is projected to decrease slightly by 0.38 MMT to 289.93 MMT.

Brazil’s Second Corn Crop Progress

AgRural reported that Brazil’s second corn crop was estimated to be 92% complete as of last Thursday.

Market Closing Prices

Mar 25 Corn closed at $4.58 3/4, gaining 3 1/2 cents.

Nearby Cash was priced at $4.32 1/2, up 3 1/2 cents.

May 25 Corn closed at $4.72, an increase of 2 3/4 cents.

Dec 25 Corn finished at $4.55, up 3/4 cent.

New Crop Cash was at $4.20 3/4, also up 3/4 cent.

On the date of publication, Austin Schroeder did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are for informational purposes only. For further details, please view the Barchart Disclosure Policy here.

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