Corn Prices Decline Amid Strong Ethanol Production
On Wednesday, corn futures retreated after a brief rebound the previous day, with contracts closing down between 2 to 9.5 cents per bushel. The national average cash price for yellow corn fell by 9.5 cents to $4.1975. Meanwhile, ethanol production rose significantly in the week of July 24, reaching its second-highest level on record at 1.133 million barrels per day (bpd), according to EIA data. Despite increased ethanol output and higher stocks, corn exports declined by 21,000 bpd to 137,000 bpd during the same period. Market participants are now looking ahead to Thursday's Export Sales report for potential old crop sales of between 300,000 to 600,000 metric tons (MT), with recent bookings showing a purchase by South Korea totaling 69,000 MT. The decline in corn prices reflects ongoing market dynamics influenced by ethanol demand and export trends. The weather outlook for the next week also suggests moderate rainfall across key agricultural regions.
Topics: corn ethanol_production futures_trading