Markets - General
Corn futures hit the highest level in nearly a decade this week, and as prices dance around record highs, analysts warn there may be more risk than upside potential at current prices.
This week corn prices topped $8 per bushel and soybean prices topped $17 per bushel. With slow planting progress, these prices could be trying to attract or commit acres to certain crops.
Cooler than average temperatures, combined with rain and snow, have pushed many Midwest farmers’ plans to plant back a few more weeks. The slow planting pace is impacting commodity prices, and it’s not even May.
A rising tide lifts all boats, and that might be what’s happening in the grain and oilseed markets. This week kicked off with another big rally in prices.
Chicago Board of Trade (CBOT) corn futures topped $8 a bushel and reached their highest price in nearly a decade on Monday on concerns over unfavorable U.S. crop weather and the Ukraine war disrupting grain exports.
China made another large buy of U.S. corn. Market analysts say food security concerns are driving the country’s increased appetite for commodities, a trend that could continue to bring China back to the U.S.
The grain markets posted another healthy week of higher prices. But are these prices getting too high?
It was the “big swap” many didn’t expect. What makes it believable is total corn and soybean acreage intentions of 180.5 million is nearly unchanged from 2021.
Grain and oilseed prices on the CME made gains Friday, despite USDA releasing what some grain analysts described as a slightly bearish World Agricultural Supply and Estimates (WASDE) report.
USDA will give an updated look at supply and demand in the April WASDE report. From Ukraine to South America, Joe Vaclavik discusses possible supply and demand adjustments in Friday’s report.