Corn price forecasts cut by Morgan Stanley on harvest
Tuesday, 9 February 2010
SINGAPORE, Feb 8 (Bloomberg): Corn may average $3.90 a bushel in the 2009-10 marketing year, 13 per cent less than an earlier forecast, after good weather in the United States boosted output, Morgan Stanley said.
The crop may average $4.75 a bushel in 2010-11 and $5 in 2011/12, down as much as 20 per cent from previous estimates, analysts including New York-based Hussein Allidina wrote in a note e-mailed Monday. The bank also pared forecasts for wheat for each of the next three years, according to the report.
Morgan Stanley joins Standard Chartered Plc in cutting targets for corn prices amid concern supplies may outpace demand after better-than-expected US output. Corn is the biggest US crop, valued at $47.4 billion in 2008, government data show.
The crop may average $4.75 a bushel in 2010-11 and $5 in 2011/12, down as much as 20 per cent from previous estimates, analysts including New York-based Hussein Allidina wrote in a note e-mailed Monday. The bank also pared forecasts for wheat for each of the next three years, according to the report.
Morgan Stanley joins Standard Chartered Plc in cutting targets for corn prices amid concern supplies may outpace demand after better-than-expected US output. Corn is the biggest US crop, valued at $47.4 billion in 2008, government data show.