Smaller Corn Crop Puts Pressure on Yield Potential

Challenging growing conditions throughout much of the Corn Belt this past spring and summer have left the corn crop somewhat damaged and bruised.

The hot and dry conditions in western states, combined with wet conditions in eastern states, have put pressure on the yield potential.

Private surveys have aligned with a USDA yield reduction in the August World Agricultural Supply and Demand Estimates report, suggesting further reductions in yield are likely.

A smaller crop in an era of bigger demand could underpin price support for corn in the near-term and potentially in the long-term.