Chicago Corn Prices Fall Ahead of USDA Report Amid Black Sea Concerns

Chicago corn prices fell on Wednesday as traders adjusted their positions ahead of the US Department of Agriculture's (USDA) supply and demand report, due out on Friday. The most-traded corn contract on the Chicago Board of Trade (CBOT) dropped by 0.8% to $5.29-1/4 a bushel.

The USDA's report is expected to provide insights into US corn yields, which have been affected by poor weather conditions in the Midwest. According to forecaster Commodity Weather Group, warmer and drier weather is forecasted for the region over the next few weeks, limiting harvest slowdowns and frost risks.

However, some market participants are still cautious about the potential impact of the Black Sea conflict on grain exports from Russia and Ukraine. US peace envoys Jared Kushner and Steve Witkoff met with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskiy over the weekend, but their efforts did not result in a breakthrough to end the war.

StoneX, a commodity brokerage firm, lowered its estimate of the average US 2026 corn yield to 182.9 bushels per acre (bpa) from 184.8 bpa in its previous report. Meanwhile, China's soybean imports fell by 1.1% in August compared to the same period last year.