FX.co ★ Corn Trades Near 2023 Highs

Corn futures climbed above $5.30 per bushel, trading near their highest levels since mid-2023, driven by tightening global supplies and renewed concerns over disruptions to Black Sea trade. The USDA now expects global corn production to fall short of consumption by nearly 30 million metric tons in 2026/27, which would be the largest deficit in more than 30 years. The shortfall is being fueled by lower output among major exporters and ongoing interruptions to grain shipments from the Black Sea.

Brazil is also projected to channel a larger share of its corn crop into ethanol production, which could curb export availability, while slower growth in planted area may further constrict supplies. In the United States, however, the progressing harvest is exerting some downward pressure on prices. As of September 13, 8% of the U.S. corn crop had been harvested, ahead of the five-year average, and 57% of the crop was rated good to excellent, up from 56% a week earlier. Meanwhile, a recent slowdown in U.S. export sales has tempered the otherwise bullish outlook for global corn supplies.