Corn Prices Cool Down as Profit-Taking Hits Grain Rally Amid Kenya's Corn Deficit

Corn prices have cooled down after reaching a three-year high near 541 cents per bushel, as profit-taking hit the grain rally.

The Chicago corn futures slipped by 0.32% on September 2nd, marking its sharpest single-session drop in three weeks.

This pullback comes after the corn price had surged about 16% in a month and 31% year-on-year, driven by tightening US supply expectations and Black Sea export risk.

The rally's engine is supply, with corn being mainly driven by tighter US supply expectations, while wheat is more directly tied to Black Sea export disruptions.

In Kenya, the country faces a projected corn deficit of nearly 486,000 tonnes by September 2026, with output seen down 40% and the government planning imports of 90,000 tonnes.