Corn rockets to 3-year high as traders eye lower US production

Business Recorder reported that Chicago corn futures climbed to a three-year high on Monday, with the most-traded contract up 2.5% at $5.21 a bushel. The rise followed a field inspection by analysts across major US farm regions the previous week, which found crops faring poorer than anticipated. Prices have gained 12% so far this month, and the contract touched $5.22, the strongest level since August 2023.

Wheat futures also hit their highest in two years as Russian and Ukrainian strikes kept disrupting shipments out of Black Sea ports. CBOT wheat advanced 1.8% to $7.12 a bushel, while soybeans eased 0.4% to $12.34 despite robust overseas demand for US beans. Wheat has risen roughly 12% this month.

Pro Farmer expects US 2026 corn production to come in well below government projections, following a tour of seven key growing states where poor summer weather damaged crops. Traders are also watching a possible El Niño event that could cut Brazilian output, while Commonwealth Bank analyst Dennis Voznesenski said a port truce would likely bring a swift drop in wheat prices.