Corn Futures Pull Back Further From 5-month High As USDA Raises World Output Forecast

Corn futures edged lower Friday, falling back further from the five-month high they hit earlier this week. The U.S. Department of Agriculture left its forecast on U.S. corn production unchanged for the 2016/2017 crop year at 386.75 million metric tons and raised its world output projection by more than 9 million metric tons to 1.0397 billion metric tons. "Looks like plenty of grain inventories globally, which is what people will take away from this report," Sal Gilbertie, president and chief investment officer at Teucrium Trading, said about the USDA’s World Agricultural Supply and Demand Estimates report. "There is once again record global demand for grains and nearly all the major crops covered in this report," he said. But "the world has become reliant on record production to meet record demand." March corn was down 0.2% at $3.53 a bushel in Chicago. It settled at over $3.60 a bushel on Tuesday, which was its highest level since mid-July.