Chicago Board of Trade corn futures dropped to a four-month low on Tuesday, driven by expectations of a large US corn crop and concerns over export demand. The US Department of Agriculture (USDA) previously estimated that farmers produced the nation's second-largest corn crop on record this year. The USDA reported that exporters sold 315,000 metric tons of US corn to Mexico and 136,000 metric tons to South Korea for delivery in 2026/27. However, demand is lagging behind last year's pace, according to Rich Nelson, chief strategist at Allendale.
CBOT corn futures fell 6 cents to $4.42-1/4 a bushel, touching their lowest price since July 2. Soybean futures also declined, hitting a 2-1/2-month low as traders worried about demand from nations other than China, the world's largest importer. The USDA reported sales of 134,000 metric tons of US soybeans to unknown buyers for 2026/27 delivery, following confirmed sales of 136,000 metric tons to China on Monday. The agency estimated that US farmers produced the biggest soybean crop ever this year, with harvesting 88% complete as of Sunday.
Wheat futures also declined as traders focused on upcoming peace talks between Russia and Ukraine, both major grain exporters. The Kremlin confirmed Russia's participation in three-way peace talks with Ukraine and the US in Abu Dhabi on November 10-11. Fighting in the region has disrupted grain exports from the Black Sea. Andrew Whitelaw of Australian agricultural consultancy Episode 3 noted that an end to hostilities could put further pressure on the already bearish market due to pent-up supplies of Russian and Ukrainian grain.