The July corn contract traded on Chicago Board of Trade (CBOT) The price of corn closed this Monday (22) with a sharp drop of 6.00 points and 1.44%, quoted at US$ cents 411.50/bushel; the September contract fell 5.50 points and 1.29%, to US$ cents 419.75/bushel. In this trading session, cereal prices followed the downward trend of recent weeks, with the market pressured by the ample global supply of the cereal and keeping an eye on the development of the new crop in the United States. The drop of more than 3% in oil on the international market also weighed on the market, a factor that reduces the competitiveness of US ethanol produced from corn. Shortly, the Department of Agriculture (USDA) will publish the weekly bulletins with the stages and conditions of US crops. The latest update indicated that planting has already ended and more than 90% of the area is in the emergence phase; in addition, almost 70% of the crops showed good and excellent conditions, a sample in line with that recorded in the last season. On the 30th, the USDA's annual planted area report will be released, which may provide some support to cereal prices, given the expectation of a smaller planted area than that reported in March in the annual planting intentions report. Regarding the weather in the main producing regions of the Corn Belt, the Department indicates that remaining rains in the Ohio Valley and the lower Great Lakes region are gradually coming to an end. Meanwhile, the rest of the Midwest is experiencing cool and dry weather, with maximum temperatures today below 27°C. "Corn and soybean crops continue to benefit from the mild weather and soil moisture reserves, which remain mostly abundant," states the USDA. The Department earlier reported that corn inspections for export totaled 1.454 million tons in the week ending June 18, a volume 12.0% lower than the previous week (1.650 million tons) and 3.3% below the amount shipped in the same period last year (1.504 million tons). Despite the declines, the volume was within analysts' projections, which ranged from 1.4 million to 1.9 million tons. In South America, the 2025/26 winter crop harvest is gaining momentum in Brazil, with production expected to reach 112 million tons, the second largest volume in history, behind only the last harvest, according to projections by DATAGRO Grãos. In Argentina, the 2025/26 harvest is approaching half of the cultivated area, with the less optimistic USDA projection pointing to a harvest of 61 million tons. Local agricultural entities, such as the Buenos Aires Grain Exchange and the Rosario Stock Exchange, estimate production at 64 and 68 million tons, respectively.
This text was translated by machine from Brazilian Portuguese.