Corn futures on the Chicago Board of Trade extended their losing streak to six sessions on Tuesday, hitting a 2-1/2 month low. The decline was driven by favorable dry weather in the Midwest, which accelerated the harvest of what is expected to be the second-largest US corn crop on record. Fund managers liquidating long positions also contributed to the downward pressure on prices.
Commodity Weather Group forecasted that harvest-friendly conditions will persist in the Midwest through at least Friday. Meanwhile, the US Department of Agriculture reported that 44% of the US corn crop had been harvested as of Sunday, up from 33% a week earlier. However, this progress still lags behind the five-year average of 52%. The agency kept its corn condition rating steady at 56% good to excellent.
On Monday, President Donald Trump unveiled a new "harvest fuel relief program" through the US Department of Agriculture. The initiative will provide farmers with $8 billion in support to help cover diesel costs during the harvest season.