Why did corn prices drop sharply, and what key USDA report is driving market sentiment?

Corn prices dropped sharply—by as much as 2.5% to a fresh contract low of $4.305 a bushel—because traders are anticipating a USDA report due Tuesday that is expected to show the largest U.S. corn stockpile since 1988; this bearish outlook stems from existing supplies being 17% higher than a year ago following a record autumn harvest, despite recent heat dome concerns.

What does the USDA say about current weather conditions and their impact on the U.S. corn crop?

The USDA states that while hot weather is helping to ease excessive wetness and promoting rapid corn and soybean development, heat has begun reaching stressful levels for some summer crops in the western Corn Belt—where temperatures will approach or reach 100°F as far north as southwestern Minnesota—though there remain chances for beneficial rainfall.

Corn Drops With USDA Set to Show Biggest US Supply Since 1988

Jun 29, 2026

Corn futures tumbled over 2% as traders anticipate a USDA report revealing the largest U.S. stockpile since 1988, driven by record harvests despite hot weather concerns.

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