Corn Market Update: Price Movement and Sales Data

On Thursday, corn prices showed some resilience, rebounding from earlier lows and closing with the nearby trading months mixed. The December corn contract settled down by 1 ¼ cents, as the national average cash price for corn fell by ¼ cent to $4.27 ¼.

Recent developments indicated Mexico and Canada were exempt from the newly announced "Liberation Day" tariffs, which primarily affected other significant U.S. corn buyers. Tariffs for Japan were set at 24%, South Korea at 25%, with an initial base tariff of 10% imposed on Colombia. These tariffs are scheduled to take effect on April 9, while the 10% tariff on Colombia will begin slightly earlier, on April 5. Notably, there have been no retaliatory actions reported from any of the affected nations so far.

Export Sales Surge for Corn

The latest export sales figures revealed that U.S. corn sales for the 2024/25 marketing year reached 1.173 million metric tons (MMT) for the week ending March 27. This figure exceeded market analysts' expectations, which ranged from 0.8 MMT to 1.6 MMT, reflecting a substantial increase of 12.9% from the previous week and an impressive 23.8% growth compared to the same period last year. Among the largest buyers, South Korea topped the list with purchases of 339,400 MT, followed closely by Mexico, which bought 226,500 MT, and Japan, where imports reached 168,500 MT. Furthermore, new crop sales concentrated solely on Japan amounted to 165,000 MT, surpassing forecasts which anticipated a range of 0-100,000 MT.

February Exports and Market Performance

Census data released this morning reported that February corn exports totaled 6.03 MMT (approximately 237.5 million bushels). This figure represents a decline of 2.11% from January's exports yet indicates a growth of 12.33% compared to the same month last year, marking it as the third largest February export total in history. This brings the cumulative marketing year total to 1.207 billion bushels through the end of February. Additionally, exports of Distillers Dried Grains (DDGs) fell below last year's figures, reaching 849,645 MT, while ethanol exports slightly decreased by 0.2% from 2024 levels, totaling 138.75 million gallons.

Current Price Snapshot

As of the close on May 25, corn prices were as follows:

• May Corn: $4.57 ½, down ¼ cent.
• Nearby Cash: $4.27 ¼, down ¼ cent.
• July Corn: $4.65 ½, up ¼ cent.
• December Corn: $4.47 ½, down 1 ¼ cents.
• New Crop Cash: $4.10, down 1 ¾ cents.

These prices reflect the ongoing fluctuations in the corn market and indicate a cautious trading environment influenced by both domestic and international developments.

The current state of play in the corn market showcases significant price movements and sales momentum, underscoring how various macroeconomic factors—including tariff announcements and international buying trends—are shaping the landscape. As buyers navigate these changes, the overall strength of corn demand remains a crucial element for market participants.

While the market experiences these shifts, it’s essential for stakeholders to stay informed about trends and pricing, ensuring they are turning to solid data to steer their decisions. Understanding the dynamics of the corn market will be paramount as we move further into the trading season.