Marketing-Communications
A flock of 175,000 chickens in Minnesota, the first in the state, was confirmed to have the highly contagious variety of avian influenza. USDA also confirmed additional cases for turkey flocks in Minnesota and one in Wisconsin.
Everything ended the week down hard as traders took a risk-off attitude toward market positions. Part of the reason was the dollar’s rally, which made even French corn competitive for importers.
The bank cut its estimate for corn to $3.90 a bushel in 2014-2015 from $4.35 in October and for soybeans to $9 a bushel from $10.10.
Corn fell from the highest price since August as demand dropped for shipments from the U.S. and an industry group raised its global production forecast.
Commodities experts say Russia didn’t buy much wheat, corn, or soybeans anyway.
Soybean futures rose the most in nine weeks on concern that dry weather forecast into August will curtail yields in the U.S., the world’s biggest grower. Corn rose, while wheat fell.
Soybeans dropped for a second day in Chicago, heading for a third monthly loss, on speculation that rain forecast for the U.S. Midwest will help improve yields after concern about recent dryness bolstered prices.
With this year looking like the perfect recipe for high yields, the downward pressure on prices is strong, says market expert Jerry Gulke.
See all of the report data, coverage and analysis of USDA’s March 31 Prospective Plantings and Grain Stocks reports.
However, another giant U.S. corn crop is still a very real possibility this fall.