As of April 21, these two trader groups have reduced their combined net-long corn position from a March peak of 680,974 contracts, reflecting a pullback of 129,138 contracts.
Their recent buying spree, totaling 454,738 contracts over three months, signals heightened concern over global supply disruptions linked to the Strait of Hormuz closure and the Iran war.
With global corn stocks tight and inflation risks rising, traders may add up to 313,555 contracts before reaching previous record highs, potentially fueling a prolonged rally in corn prices.
If the Strait of Hormuz reopens, how quickly could the massive speculative bets on corn unravel?
With big funds betting on a rally, why does the USDA predict rising corn supplies and lower prices?
Are automated trading algorithms from large funds now the primary driver of corn price volatility?
Will the surge in corn and oil prices trigger a 1970s-style stagflation crisis?
How will the fertilizer crisis in the Persian Gulf create the next global food security timebomb?
Can new farming technologies offset the global fertilizer shortage caused by the Iran war?