Weekly Corn Weakness: Traders Reassess Positions Amid Economic Shifts

Corn prices of corn experienced notable softness during Friday’s trading session, with front-month contracts surrendering between one and two-and-a-half cents. The March contract finished the week down three cents, reflecting sustained pressure in the agricultural commodities space. According to CmdtyView’s national assessment, spot levels retreated 2¼ cents to settle at $3.99 1/4, signaling diminished buyer enthusiasm in the cash market.

Market Positioning Reveals Shifting Dynamics

The most significant development emerged from Friday afternoon’s Commitment of Traders snapshot, which illuminated substantial repositioning among key market participants. Managed money investors executed a notable reduction, liquidating 71,479 contracts from their net short exposure that existed as of October 28. This adjustment compressed their position to 89,506 contracts, suggesting a recalibration of bearish bets. Conversely, commercial operators—typically viewed as hedgers—took the opposite route by trimming their long positions while simultaneously expanding short coverage, thereby enlarging their net short by 77,722 contracts to reach 128,585 contracts.

Price of Corn Across Contract Months

The weakness manifested consistently across the futures curve. December futures closed at $4.36 3/4, off one cent, while nearby cash mirrored the broader decline at $3.99 1/4, down 2¼ cents. Deferred contracts also posted losses, with March settlement at $4.44 3/4 (down 2½ cents) and May reaching $4.52 1/4 (down 2¼ cents), underscoring uniform selling pressure throughout the forward calendar.

What’s Next: Key Data Events on the Horizon

The USDA will release a supplementary Export Sales report on Monday, with the trade anticipating 1-2 million metric tonnes of corn export bookings for the week concluding November 6. More importantly, the monthly WASDE projection arrives Tuesday, with Bloomberg-surveyed analysts forecasting U.S. corn ending stocks of 2.145 billion bushels—representing a 9 million-bushel contraction from November’s assessment if the estimate proves accurate. In South America, the Buenos Aires Grains Exchange reported Argentina’s corn acreage at 44% planted, lagging the 46% pace established in the prior year, suggesting potential supply considerations for global markets ahead.