trade corn CFDs at Friedberg Direct

Corn Trading via CFDs with Friedberg Direct

It might shock some readers that even though corn enjoys huge global demand and popularity, trading corn futures is not so common. As such, it is not offered by all brokers, especially not with such good conditions.

Join Friedberg Direct now and enjoy the benefits of trading with a regulated broker!

The Corn Market

The corn market is open all year long; however; as corn is a seasonal product its high trading season is mostly during the summer. Corn is distributed and sold during the winter, which leaves the summer to speculate on growth value, estimated numbers and more.

The first and perhaps the most influential report about corn is published in March by the United States Department of Agriculture (USDA). It refers to the expected amount of acres planted by farmers, which naturally will impact corn market prices.

What Influences the Price of Corn?

A corn market outlook will reveal that the US is not only the main producer of corn but also its main consumer.

  • Only a minor portion of the corn harvest goes to food uses such as corncob and corn oil. Ethanol fuel is becoming more and more commonly used alongside gasoline, mostly in the US, and is concocted with a fair amount of corn in it, to say the least. 40% of corn consumption goes to Ethanol production.
  • The corn market price is mainly affected by supply and demand rates. As human consumption of corn remains mostly even, industrial usage can change. Therefore, if Crude Oil trading prices shift, we are likely to see a changes in the price of corn as well.
  • Corn prices tend to soar during the summer, specifically from June to August, when the weather changes and affects the crops. This can bring about a dramatic change from the expected amounts published in the month of March, which bring about major changes in its price.
  • The main corn producer is the US, with over 350 million tons of corn per year. Right after it are China, Brazil and Argentina. As much as import and export are involved in corn consumption, different factors can weigh in: political change, trade agreements, taxes and more. The nature of relations between the producing countries to the ones consuming them is crucial to determine the price of corn.

Trading Corn with Friedberg Direct

Not so popular amongst regular traders, the corn market brings with it niche trading opportunities. It is important to analyse and monitor the reports, weather forecasts and perhaps also Crude Oil prices.

Friedberg Direct is delighted to offer our clients this new trading possibility, which can allow you to not only diversify your portfolio by adding agricultural commodities trading but, moreover, to potentially capitalise on a unique trading instrument.

Join Friedberg Direct now and enjoy the benefits of trading with a regulated broker!