# Commodity crop prices hinge on drought, ethanol demand | Feed Strategy

> USDA's July World Agricultural Supply and Demand outlook trimmed 2021 projected on-farm corn value by 10 cents to $5.60/bu and soybeans by 15 cents to $13.70/bu. Analysts cite reduced Chinese import demand and tight global carryover, with U.S. weather as the main remaining wild card.

- Date: 2021-07-15 · published 2021-07-15T12:00:00.000Z
- Category: report · region US · magnitude medium
- Page: https://feedsoft.ai/events/46170-commodity-crop-prices-hinge-on-drought-ethanol-demand-feed-strategy
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Lower projected farm values reflect reduced China demand, but tight carryover keeps feed grain prices supported. Weather during the rest of the season will determine whether prices hold.

## Read by commodity

- SBM: neutral
- SOY: neutral
- CORN: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| CORN | 2022-12-19 | [Commodities 2023: Australia's record wheat crop to dominate Asia demand in H1](https://feedsoft.ai/events/38164-commodities-2023-australia-s-record-wheat-crop-to-dominate-asia-demand-in-h1.md) | +1.3% | +2.9% |
| CORN | 2019-04-01 | [Drought-Tolerant Corn in the United States: Research, Commercialization, and Related Crop Production Practices](https://feedsoft.ai/events/59923-drought-tolerant-corn-in-the-united-states-research-commercialization-and.md) | +0.2% | -2.9% |
| CORN | 2026-10-29 | [Ethanol Production Hits Thirteen-Week High As Demand Falls -](https://feedsoft.ai/events/2072-ethanol-production-hits-thirteen-week-high-as-demand-falls.md) | -1.5% | — |
| CORN | 2022-07-20 | [Bumper crops and higher prices, but challenges remain - Chinadaily.com.cn](https://feedsoft.ai/events/40472-bumper-crops-and-higher-prices-but-challenges-remain-chinadaily-com-cn.md) | -6.0% | -1.2% |
| CORN | 2021-06-18 | [CBOT Prices Rebound Looking Forward to Next Crop Rating \| Feed & Grain](https://feedsoft.ai/events/46669-cbot-prices-rebound-looking-forward-to-next-crop-rating-feed-and-grain.md) | +0.3% | -5.2% |
| SOY | 2020-08-25 | [Growing demand for corn, soybeans driving up prices \| Feed Strategy](https://feedsoft.ai/events/51666-growing-demand-for-corn-soybeans-driving-up-prices-feed-strategy.md) | +5.7% | +13.3% |
| SOY | 2021-06-18 | [CBOT Prices Rebound Looking Forward to Next Crop Rating \| Feed & Grain](https://feedsoft.ai/events/46669-cbot-prices-rebound-looking-forward-to-next-crop-rating-feed-and-grain.md) | +3.1% | +9.4% |
| SOY | 2021-06-10 | [Corn jumps after USDA projects high export, ethanol demand - The Globe and Mail](https://feedsoft.ai/events/46508-corn-jumps-after-usda-projects-high-export-ethanol-demand-the-globe-and-mail.md) | -7.3% | -11.0% |

## Sources

- feedstrategy.com: https://www.feedstrategy.com/latest-news/article/15442327/commodity-crop-prices-hinge-on-drought-ethanol-demand

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.