Corn prices shed over one percent as eyes fixed on Fed's meeting

Corn prices fell over one percent even as the dollar gave up ground today, amid a lack of data from the U.S., the world's largest corn producer and exporter, while investors await the Federal Reserve's meeting tomorrow. 

As of 07:34 GMT, corn futures due on July 15 fell 1.39% to $372.25 a bushel from the opening of $377.50, with an intraday low at $370.25, and a high at $378.25, while the dollar index fell 0.05% to 99.03 from the opening of 99.07. 

Corn's decline comes as net short positions from traders rose by 25 thousand contracts in the week ending April 25 to 196.26 thousand contracts, even as analysts expect the current cold weather in the U.S. and heavy rains to cause supply disruptions and buoy prices in the coming period. 

Otherwise, investors are eyeing the Federal Open Market Committee's meeting on May 2-3 in Washington, with policymakers expected to keep overnight interest rates steady at between 0.75% and 1.0%, after raising them by 26 basis points in the mid-March meeting. 

Similarly, FOMC members are expected to reveal their three-year forecasts for inflation, growth, unemployment, and overnight interest rates in this meeting, with bets pointing to a rate hike in the next June meeting.