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Funds adopted their most bearish view on CBOT corn since 2020, and December futures fell to the lowest level since December 2020. The USDA refreshed its U.S. corn crop estimate on September 12, and it came in above all trade guesses on an unusually strong gain in yield or area.
A larger-than-expected USDA crop estimate adds to supply and points to lower corn prices and cheaper feed ingredients.
reuters.comKaren BraunSep 18, 2023After 1,102 past bearish report events, CORN moved a median -0.2% over 5 sessions (47% higher; middle half -1.8% to +1.3%), and +0.0% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
USDA's September corn crop estimate came in above all trade guesses, and funds adopted their most bearish corn stance since 2020, with December futures hitting the lowest since 2020, a direct supply and sentiment driver of the drop.
USDA's Sept 12 corn estimate came in above all trade guesses and funds turned most bearish since 2020, pushing December futures to their lowest since December 2020.
Record-bearish fund positioning and December futures hitting the lowest level since 2020, following a USDA corn crop estimate above all trade guesses, points to a supply-driven, fund-led selloff on 2023-09-18.
