Corn Market Sees Uninterrupted Rally Amid Drought Concerns

The corn market has seen an uninterrupted rally over the past two weeks, pushing December corn prices to their highest levels since late July 2023. The rally began after a bullish Pro Farmer Crop Tour number and extended hot dry weather. However, reaching the 555-560 level may be challenging for December corn.

September futures are now in delivery, which means that contracts for this month must be fulfilled with actual corn deliveries. Currently, 27% of corn acres are considered to be in a drought area, significantly higher than the five-year average of around 8%. This has contributed to the recent price increase.