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Hubbs sees slightly stronger corn prices

University of Illinois agriculture economist Todd Hubbs projects a stronger corn market.  Hubbs tells Brownfield the smaller South American corn crop, good ethanol demand and a big livestock herd to feed will lead to at least a slightly higher corn price.

“When I’m thinking of the 2018/2019 marketing year, I see [the corn price] somewhere in the $3.50 to $3.60 range if, and these are big ifs, all these demand drivers continue and we do see growth in exports,” said Hubbs.

Soybean profitability will likely result in fewer corn acres, but Hubbs says a USDA report later this month will fill in some blanks.

“March 29 (USDA’s Prospective Plantings Report) could be a big market mover day,” said Hubbs, “particularly when we get the first indication of how many acres we’re going to be planting in the United States for most of our spring crops.”

Hubbs says corn demand coupled with fewer acres could mean that corn consumption will outpace domestic production in 2018.

AUDIO: Todd Hubbs (6 min. MP3)