Corn is the first grain on The Daily Board, and for good reason: it is the largest U.S. crop, a major feed grain and a key input for ethanol. This guide explains how the market is quoted, what moves it and which reports to watch. Terms like basis and carryover are explained in the commodity market glossary.
How corn is quoted
Contract: CBOT corn futures (ZC), traded in Chicago.
Units: US cents per bushel. A move of +4'2 means four and two-eighths cents, or 4.25 cents.
Size: one contract covers 5,000 bushels.
Contract months: March, May, July, September and December. The Board labels the contract month it quotes, because the front month rolls forward as contracts expire.
What moves the price
U.S. crop size and weather: planting pace, summer weather during pollination and the harvest result drive the supply side. Weather risk tends to be priced in during spring and summer, while heavy harvest selling can weigh on prices in the fall.
USDA reports: these reset expectations for acres, yield, use and ending stocks (the supply left at the end of the marketing year). A surprise against forecasts is often what produces the biggest one-day moves.
Demand: feed use, ethanol production and exports. Weekly export sales and export inspections show how quickly corn is moving out of the country.
South American crops: Brazil and Argentina compete with the U.S. for export business, especially in the second half of the year.
Outside markets: the U.S. dollar, crude oil (through ethanol demand) and the soybean market, since corn and beans compete for the same acres.
Fund positioning: when speculative funds are heavily short, a supportive surprise can force buying back, and rallies can be sharp.
Reports to watch
WASDE: USDA's monthly supply and demand estimates.
Crop Progress: weekly, usually on Mondays during the growing season, with planting, emergence and condition ratings.
Export Sales: weekly, on Thursdays.
Grain Stocks: quarterly, covering stocks on March 1, June 1, September 1 and December 1.
Prospective Plantings and Acreage: USDA's planting intentions in March and its acreage update in June.
Ethanol: weekly production and stocks from the EIA.
Why corn matters on the Prairies
Corn competes with barley and wheat as a feed grain, so a move in corn can pull feed grain prices on the Prairies with it. Imported corn also limits how much feedlots will pay for local barley. The Daily Board covers Alberta feed barley next to corn for that reason, and a firmer corn market is worth noting when you price feed or plan rations.
See it in practice
Read how corn traded on a big-news day in Corn Craters 4% on Surprise USDA Stocks Shock, or browse every corn edition. For how each edition is built and where the prices come from, see How to Read The Daily Board and the About page.
This guide explains how the market works. It is not investment advice or a recommendation to buy or sell.