CBOT corn falls for fourth consecutive day due to concerns over biofuel demand

Chicago, November 14th: On Thursday, corn futures on the Chicago Board of Trade (CBOT) fell for the fourth consecutive trading day, with the benchmark closing down about 1.8%, as traders were concerned that incoming Donald Trump's biofuel policy changes would suppress domestic demand.

As of the close, corn futures fell by 2 cents to 7.50 cents, with the 12-month futures falling by approximately 7.50 cents to close at 419 cents per bushel; The March period fell by approximately 6.75 cents, closing at 430.75 cents per bushel; The May period fell by about 6 cents, closing at 438.25 cents per bushel.

The most active trading range for the 12-month term is between 418.25 cents and 428 cents.

Trump's choice of Environmental Protection Agency Administrator Lee Zeldin at the beginning of the week is unfriendly to biofuels, exacerbating concerns that this administration's biofuel policies will harm domestic corn demand.

According to the latest data released by the US Energy Information Administration on Thursday, as of the week ending November 8th, the daily ethanol production reached a historic high of 1.113 million barrels, marking seven consecutive weeks of rising production.

Mexican President Claudia Sheinbaum announced on Thursday that her government will propose a plan in the coming days to protect the country's non GMO white corn in accordance with the constitution.

European traders announced on Thursday that Algeria's national agency ONAB did not purchase any corn in the 240000 ton feed corn tender that ended on Wednesday. ONAB plans to purchase supplies from Argentina or Brazil.

On Thursday, the Brazilian National Commodity Supply Company (CONAB) released its second production forecast report, predicting that Brazil's total corn production for 2024/25 will reach 119.814 million tons, which is about 70000 tons higher than last month's forecast of 119.74 million tons, a year-on-year increase of 3.6%, and a year-on-year increase of 3.5%.

On Thursday, the estimated trading volume for the benchmark period was 269006 lots, compared to 206401 lots on the previous trading day. The short position is 478864 lots, compared to 518244 lots on the previous trading day.