CBOT corn falls due to strong yield potential

Chicago, August 22nd News: On Thursday, corn futures on the Chicago Board of Trade (CBOT) closed lower, with the benchmark period closing about 1.2% lower, as strong field investigations in the Midwest strengthened expectations for high yields in the United States.

As of the close, corn futures fell by 4 cents to 5.50 cents, with September futures closing down about 4 cents to 371.50 cents per bushel; The December period closed about 4.75 cents lower, closing at 393.50 cents per bushel; The March period closed down by approximately 5.50 cents, closing at 411.50 cents per bushel.

The most active trading range for the 12-month term is between 393 cents and 399 cents.

According to the results of the third day of ProFarmer's annual crop survey in the Midwest, the corn yield in Illinois, the second largest production area, will reach a record high, while the yield in the western third of Iowa, the top production area, is mostly above average.

The weekly export sales report released by the US Department of Agriculture shows that as of the week of August 15, 2024, the net sales volume of corn in the US for the fiscal year 2023/24 was 119100 tons, setting a new annual low, 1% lower than last week, and 57% lower than the four week average, which is in line with market expectations. The net sales volume for 2024/25 was 1291200 tons, up from 800500 tons a week ago, exceeding the trade expectation of 1.025 million tons.

The daily export sales report released by the US Department of Agriculture shows that private exporters reported selling 110500 tons of corn to Mexico and 132000 tons to unknown destinations, both delivered in 2024/25.

On Thursday, the estimated trading volume for the benchmark period was 179409 lots, compared to 138751 lots on the previous trading day. The short position is 775235 lots, compared to 773682 lots on the previous trading day.