Corn fell in Chicago as field samples bolstered optimism the U.S. harvest, the world’s biggest, will rebound from last year’s drought and reach a record. Soybeans declined from a two-month high.
Yields in Illinois, the second-largest corn-growing state after Iowa, may climb 40 percent from last year to an average 170.5 bushels an acre, according to findings yesterday on the annual Professional Farmers of America Midwest Crop Tour. That would be the state’s highest yield since 2009, U.S. Department of Agriculture data show. Corn slumped 32 percent this year as the USDA sees the U.S. crop at a record 13.26 billion bushels.
"Corn still struggles on rallies," Dan Cekander, the director of grain market analysis at Newedge USA LLC, said in an e-mailed comment today. "The Pro Farmer tour implies good crops."
Corn for delivery in December dropped 1.4 percent to $4.765 a bushel by 7:08 a.m. on the Chicago Board of Trade. Prices are still set for a second straight weekly gain amid dry weather in parts of the Midwest and concerns that delayed plant development will leave crops vulnerable to an early frost.
Corn yields in Iowa ranged from 175.65 bushels an acre in northwestern areas to 160 bushels in the southwest, the crop tour found. The USDA pegs the state’s yields this year at 163 bushels an acre. Pro Farmer will release its national harvest estimate Aug. 23, partly based on this week’s tour data.
Soybeans for delivery in November dropped 0.8 percent to $12.93 a bushel. Prices yesterday reached $13.19, the highest since June 19. Soybean pod counts in northwest Iowa and Illinois were below the average amount from the past three years, crop tour data showed.
Wheat for delivery in December fell 0.7 percent to $6.445 a bushel. In Paris, milling wheat for delivery in November dropped 0.4 percent to 184.75 euros ($245.94) a metric ton on NYSE Liffe.