Despite increased supplies of corn from countries around the Black Sea, the balance between supply and demand at a global level is tightly balanced.
This has left markets “vulnerable to leading to intense price swings”, despite a drop in the price from recent highs.
Corn is the main ingredient in cattle feed. This uncertainty, combined with drought in Texas, has led farmers to sell calves younger than normal, leading to a forecast shortage “by the middle of next year.”
US per capita consumption of beef has been falling, but exports are up.