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CBOT corn falls on Trump's tariff threat to Mexico

CHICAGO: Chicago Board of Trade corn futures fell 2.0% on Friday on pressure from fresh concerns about exports to Me
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CHICAGO: Chicago Board of Trade corn futures fell 2.0% on Friday on pressure from fresh concerns about exports to Mexico, the top overseas market for US corn, and some end-of-month profit taking, traders said.

* US President Donald Trump, responding to a surge of illegal immigrants across the southern border, vowed on Thursday to impose a tariff on all goods coming from Mexico, starting at 5% and ratcheting much higher until the flow of people ceases.

* Corn futures received some support from Trump's decision to lift restrictions on the sale of higher ethanol blends of gasoline, which could boost demand for the yellow grain.

* The most-active corn futures contract jumped 17.9% in May, its biggest monthly gain in percentage terms since June 2015.

* For the week, corn futures rose 5.8%, their third straight week of gains.

* The US Agriculture Department on Friday morning said that corn export sales totaled 983,300 tonnes in the week ended May 23, topping analysts' forecasts that ranged from 450,000 to 850,000 tonnes.

Copyright Reuters, 2019