Corn hits $594, its lowest rate in 8 months

The Corn future fell to a new low at $594 today, its lowest value in 8 months; yesterday ended at $601.

United States's GDP new data released of 1.1 below its previous figure.

United States GDP published today at 12:30 UTC came out at 1.1, falling short of the two projections and continuing its decline from the previous 2.6 figure. Following a previous reading of -4.58 million, Crude Oil Inventories in United States released yesterday at 14:30 UTC fell short of the -1.49 million figure expected by analysts with an actual reading of -5 million.

On the flip side, highly important Initial Jobless Claims data from United States beat analyst expectations of 248,000 with a reading of 230,000.

The Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. A crossing of the lower Bollinger Band® at $595.24 suggests further losses may follow for Corn. On the other hand, note that the Corn future could begin to recover as it approaches significant support, now $3.67 away from $597.67. Dipping below could be an indication that further losses are ahead.

In the short term, Corn is expected to maintain its recent downtrend and continue spiralling lower.

Taking a look at other Grains commodities, negative performances are evident as Rough Rice closed at $17 (down 0.5%). Soybeans closed at $1,406.25 (down 0.6%).

With markets struggling for positive sentiment, upcoming macro data could potentially attract buyers in the market as today at 14:00 UTC data for United States Pending Home Sales will be released, with an expected decline to 0.5% from the preceding figure of 0.8%.

Furthermore, United States Core PCE Price Index (MoM) (Mar) will be released tomorrow at 12:30 UTC.

Corn has shed 11.75% over the past three months.