Corn futures slip below $5.10 ahead of USDA supply-demand report

21 reached on September 1, as traders repositioned ahead of Friday’s widely watched USDA supply-and-demand report. The pullback came despite expectations for weaker US yields, which have continued to underpin prices. 8 in its prior monthly forecast, pointing to tighter supplies. Warmer and drier weather across the US Midwest in the coming weeks is expected to reduce harvest delays and frost risks, potentially allowing fieldwork to move ahead more quickly.

The USDA said 5% of the US corn crop had been harvested as of last Friday, while 56% was rated good to excellent. Traders are also monitoring risks to Black Sea grain exports as the Russia-Ukraine war threatens to disrupt supplies and tighten global grain markets.