Corn Prices May Reach $6 as Supply Outlook Tightens

The corn supply outlook has tightened significantly due to weather conditions in the Midwest that have trimmed yield prospects. The stocks-to-use ratio, which measures expected ending stocks as a percentage of total annual consumption, has fallen below 10% for the first time in four years. According to the USDA's September 11 Supply and Demand report, U.S. corn supplies at the end of the 2026-27 marketing year are forecasted to be 1.57 billion bushels, down 18% from the previous year.

The stocks-to-use ratio has now dropped to 9.68%, which is the lowest since 2021-22. Historically, a ratio below 10% is associated with steep futures rallies and increased price volatility. With about 35 days of corn stocks remaining at the end of 2026-27 next summer, farmers may want to consider selling their excess grain quickly.

Corn prices have retreated from a three-year high at just under $5.50 in early September, but some advisers believe that December futures could still hit $6. Jon Scheve, owner of Scheve Grain, suggests that farmers take advantage of current corn prices to turn a profit and sell any excess grain as soon as possible.