Corn Prices Tank on Friday as Harvest Resumes

Corn futures fell sharply on Friday, with prices down across the board. December contracts led the decline, plummeting by 30.5 cents or 5.77% to close at $4.97 3/4.

The national average Cash Corn price also declined, dropping by 2.25 cents to settle at $4.59. The USDA reported a significant private export sale of corn to Mexico on Friday morning, but it failed to support the market.

According to CFTC data, managed money trimmed another 36,587 contracts from their net long position in corn futures and options as of Tuesday. This reduction was largely due to long liquidation, which suggests that some investors are becoming more cautious about the market's direction.

The resumption of harvest is expected over the next week, with improved weather conditions forecasted for much of the US growing region. However, export sales data from the USDA shows total corn commitments lagging behind last year's pace, standing at just 18.774 MMT or 31% below the same time in 2022.