Corn prices fell due to weather concerns in the US

Published Jun 16, 2024

Tridge summary

The agricultural market experienced a significant price drop at the end of the week, with key crops such as wheat, corn, soybeans, and canola seeing declines in both Chicago and Europe. The decrease in corn prices is linked to market concerns over hot and dry conditions in major U.S. production regions, with weather forecasts influencing market volatility. The approach of La Niña and the end of El Niño could further impact weather conditions and grain markets. In Brazil, ethanol production has seen a shift to corn, but overall fuel production has slightly decreased. European markets also reported price drops, with mill wheat, corn, and feed wheat experiencing the most significant declines.
Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The week ended with a thorough price drop on the crop markets. In most cases, Friday's minuses also tipped the weekly price movements into the negative range. In Chicago, wheat fell by 1.3 percent, corn by 2.2 percent, soybeans by 1 percent, and canola by 0.8 percent less than the previous day. In Europe, all four priority agricultural products, mill wheat, corn, rapeseed and fodder wheat, closed in the red. Corn prices have started to fall as markets worry about hot and dry conditions in major U.S. producing regions. However, the forecasts show different directions. “The market has fluctuated over the past few days as traders try to gauge which forecast is correct,” AgResource said in a report. According to the company, Mother Nature has now become key for grain markets, increasing the risk of volatility. The weather outlook is a cause for concern, with "a new Central American weather pattern emerging that may continue into July," AgResource's analysis said. The approach of La ...
Source: AgroForum
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