Chicago Corn Hits Three-Year High on US Crop Worries

Chicago corn futures surged to their highest level in three years on Monday, extending a sharp monthly rally as a closely watched analyst tour of key US farming regions revealed crop conditions that were worse than many had anticipated.

The most-active corn contract on the Chicago Board of Trade climbed 2% to $5.18-3/4 per bushel, after touching $5.20 earlier in the session — a level not seen since August 2023. The grain is now up roughly 12% this month.

The move followed a tour by advisory service Pro Farmer across seven major production states, which concluded that 2026 US corn output will fall well below government forecasts. Adverse summer weather has hurt crops, the tour found.

Wheat futures also advanced, rising 1.1% to $7.07 per bushel, edging closer to July's two-year high of $7.11-1/4. Continued tit-for-tat attacks by Russia and Ukraine on each other's shipping routes have brought grain exports from the Azov and Black Sea basin to a virtual halt. Russia is the world's largest wheat exporter, while Ukraine is a major supplier.

Soybeans bucked the trend, easing 0.5% to $12.32-3/4 per bushel, though prices remained supported by strong export demand for US beans. Soybeans are up 4% so far this month.

In Europe, crop ratings for French grain maize stabilised after falling to a record low during an exceptionally hot and dry summer, according to data from farm office FranceAgriMer.

Meanwhile, regulatory data showed large speculators significantly increased their net long positions in CBOT corn in the week to August 18, adding further momentum to the rally.