This year’s corn crop could be bigger than previously thought. According to U.S. Department of Agriculture’s most recent estimate, the corn harvest this year should near 14.2 billion bushels, potentially the third-largest on record.
This news knocked corn near the lowest level of the year, with December corn futures trading for $3.46 per bushel on Tuesday.
These low prices are disappointing for producers and investors who had been expecting a rally after this summer’s heat and dry weather damaged the crop. However, the USDA continues to expect that the crop emerged largely unscathed, projecting a healthy harvest and grain surplus in the coming months.