Corn Economic Value study for the fall 2020 through spring 2021 – 9/30/2020

The cut in the old crop corn carryout estimate this week has pushed the new crop corn balance further into the volatile range. The accompanying scatters display the highs and lows for central Illinois corn as a function of the U.S. corn carryout as a percentage of crop year food, fuel and exports. The ratio started at 38% in May but has tightened to 23% due to a smaller than expected crop, better than anticipated exports and also improved feed usage.