S. corn futures are trading lower Wednesday morning, pressured by lower soybean prices and concerns about weak corn demand.
In electronic trading, Chicago Board of Trade futures for March delivery are down 5 3/4 cents, or 0.8%, at $7.23 1/4 a bushel.
Mixed weather forecasts for Argentina are weighing on soybeans and corn on Wednesday, with some expectations for greater rainfall. Dry weather has emerged to threaten crops in Argentina in the last few weeks.
While corn is less threatened than soybeans in the country, corn futures are also influenced by soybean prices, which are lower on Wednesday morning.
Corn is also pressured by concerns about weak demand for physical corn.
Traders will watch for the Energy Information Administration at 10:30 a.m. EST on Wednesday to release weekly data on ethanol production. Last week, the data showed U.S. ethanol production had fallen to 770,000 barrels a day, the lowest weekly level since record-keeping began in mid-2010.
Traders are also bracing for the U.S. Department of Agriculture on Friday to issue its monthly world supply-and-demand report.
Analysts on average expect the USDA to forecast U.S. corn inventories as of Aug. 31, the end of the current crop year, will total 615 million bushels, according to a survey of 18 analysts by Dow Jones Newswires. That would be up 2% from the USDA's forecast last month of 602 million bushels.
The greater stocks would result from lower expected corn demand from the ethanol sector and exporters. Corn exports have been slow for months.
Technical selling is also weighing on corn...
Source: Argentine Beef Packers S.A.
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