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Potential delayed support coming to corn market

An ag economist is expecting a mostly sideways corn market for the rest of the year.

The University of Missouri’s Ben Brown tells Brownfield the next market mover might not come until January when market players can better gauge the crop’s production total.

“I would not be surprised to see this corn crop come in a little bit smaller than what USDA is estimating today,” he said.

Brown said factors like energy shortages limiting fertilizer production could push farmers to plant more soybean acres over corn, adding bullish pressure in deferred corn contracts. And he says while corn export inspections started the marketing year on a ‘sour note’…

“I expect that to turnaround,” Brown said. “I do think there are some supporting fundamentals on the corn balance sheet.”

Brown said the tightening global wheat market could also be positive for corn prices as more cattle feeders move towards corn and dried distillers’ grains.