CBOT Corn Futures Fall 1.1% on Oil Drop, Amid Robust Spring Planting Pace

On Wednesday, CBOT corn futures closed lower, with the benchmark contract declining 1.1% to reach a one-month low. The decline was driven by a 4% drop in crude oil prices following reports of preliminary negotiations between Iran and the U.S. on conflict resolution and reopening the Strait of Hormuz. As corn is a key feedstock for biofuel production, lower oil prices put pressure on corn prices.

U.S. corn planting progress remained strong. As of May 24, corn planting was 86% complete, up 10% from the prior week and 3% above the five-year average, according to the USDA's weekly crop progress report. Corn emergence stood at 60%, up 21% week-over-week and slightly above average.