IGC raises global crop estimate slightly for corn

The IGC raised its global corn crop forecast by 2 million to 968 million tons to take account of a 8 million ton higher crop in the US, which more than compensates for the almost 7 million ton downward revision for the EU crop. 

Despite the increased production, the IGC anticipates a supply deficit of 4 million tons on the global corn market, with the result that corn closed slightly up at 364 US cents per bushel despite the upward revision of the global crop estimate, notes Commerzbank. The corn price was also able to profit from the sharp rise in oil prices, as corn is also used in the production of ethanol.