Corn futures rose above $5.3 per bushel, trading near their highest level since mid-2023, supported by tightening global supplies and concerns over disruptions to Black Sea trade.

The USDA now projects global corn production to fall short of consumption by nearly 30 million metric tons in 2026/27, which would mark the largest deficit in more than 30 years, with lower output among major exporters and continued disruptions to grain shipments from the Black Sea contributing to the shortfall.

Brazil is also expected to divert more corn toward ethanol production, potentially reducing export availability, while lower planting growth could further tighten supplies.

In the US, however, the advancing harvest is providing some pressure, with 8% of the crop harvested by September 13, ahead of the five-year average, while 57% was rated good to excellent, up from 56% a week earlier.

US export sales have also weakened recently, tempering the bullish supply outlook.