Corn Markets Eye Upcoming World Supply and Demand Forecast

The U.S. has a bountiful corn supply, but markets are waiting for the January WASDE Report, which will include updated yield estimates.

NASHVILLE, Tenn. (RFD-TV) — There is a whole lot of corn on hand right now, and the markets are eager to see the next World Agricultural Supply and Demand Estimate (WASDE). The upcoming U.S. Department of Agriculture (USDA) report will provide an update on yield data, which the latest reportdid not address.

Economist Naomi Blohm said traders hope for a downward revision, which would be good news for growers.

“If this corn yield number in the United States goes down in January, if there’s this weather issue in South America this winter, and if the USDA brings that yield number down, we’ve got reasons for corn futures to be able to really easily climb over $4.50,” Blohm explained. “And maybe head up towards the $5 area, which would be very welcomed for so many producers.”

Despite ample corn supplies on hand, Blohm said domestic demand has been strong, especially for ethanol. She estimated that one-third of U.S. corn supplies go to that sector, totaling about 5.5 billion bushels.

Related Stories
Farm CPA Paul Neiffer joined us on Thursday’s Market Day Report to discuss the implications for farmers.
U.S. Senator Roger Marshall (R-KS) shares his perspective on the U.S.-China trade developments and their potential impact on American producers, farmers, and ranchers.
Rich Nelson, a commodity broker for Allendale Inc., joins us to break down what the U.S.-China trade agreement means for the ag economy.
The U.S.-China summit raises hopes for stronger exports and reduced barriers, but U.S. ag players should remain strategically cautious until concrete volumes and certifications materialize.
Prepare for softer milk checks into winter, watch cull-cow values and timing, and stress-test cash flow as product prices recalibrate.
Expect incremental near-term lift for feed grains, proteins, and ethanol as tariff cuts and smoother approvals translate into real orders.
Cattle markets are collapsing this week, and analysts say that several factors are at play. Consumer beef prices also remain near all-time highs, threatening long-term demand.
The President’s trip to Asia this week follows a trade mission by the Iowa Soybean Association. Farmers say they were reminded that U.S. soybeans have an international reputation that can be easy to take for granted here at home.
Export volumes remain positive year-to-date, but weaker soybean loadings and slowing wheat movement hint at early bottlenecks in global demand or river logistics. Farmers should watch basis levels and freight conditions as export competition heats up.