Corn and grains exchange traded funds were Thursday’s steepest decliners after the U.S. Department of Agriculture forecast inventories will be higher than expected.
Corn and wheat prices fell the most in three months, Bloomberg reported.
“There is plenty of supply right now, especially wheat on a global basis,” said Alex Bos, a grain strategist at Macquarie Group, in the report. “Usage for corn and soybeans in the last quarter was much slower than expected by most people.”
Teucrium Corn Fund (NYSEArca: CORN) fell 6% at last check Thursday while iPath Grains ETN (NYSEArca: JJG) declined 5%.