Corn, soybeans rise
Sunday, 2 August 2009
NEW YORK August 1 (Bloomberg): Corn rose to a three-week high and soybeans gained on speculation that recent dry, cool weather stunted crops in the US, the world's largest grower and exporter.
Parts of the Midwest got less than 25 per cent of normal rainfall in the past week and temperatures were as much as 9 degrees Fahrenheit below average, data from the High Plains Regional Climate Center show.
The driest areas will get limited precipitation in the next seven days, with above-normal temperatures returning by late next week, said Mike Tannura, a meteorologist for T-Storm Weather in Chicago.
"The market is concerned about declining crop conditions," said Don Roose, the president of US Commodities Inc. in West Des Moines, Iowa. "The crops aren't getting any bigger."
Corn futures for December delivery rose 7.25 cents, or 2.1 per cent, to $3.495 a bushel on the Chicago Board of Trade, after earlier reaching $3.50, the highest since July 7. The price climbed 6.8 per cent for the week, after falling for seven straight weeks. For the month, corn dropped 4.8 per cent, after losing 16 per cent in June.
Soybean futures for November delivery rose 11 cents, or 1.1 per cent, to $9.82 a bushel in Chicago, up 7.3 per cent this week, the biggest weekly gain since early April. For the month, soybeans advanced 1 cent, or 0.1 per cent, after falling 17 per cent in June.
The condition of the corn crop deteriorated in the week ended July 26 as dry soil stressed some fields from Minnesota to Ohio, the US Department of Agriculture said this week.
About 70 per cent of the corn was in good or excellent condition, down from 71 per cent a week earlier, the agency said. A year earlier, the figure was 66 per cent. An estimated 67 per cent of soybeans got the best ratings, unchanged from a week earlier and up from 62 per cent a year earlier.
Parts of the Midwest got less than 25 per cent of normal rainfall in the past week and temperatures were as much as 9 degrees Fahrenheit below average, data from the High Plains Regional Climate Center show.
The driest areas will get limited precipitation in the next seven days, with above-normal temperatures returning by late next week, said Mike Tannura, a meteorologist for T-Storm Weather in Chicago.
"The market is concerned about declining crop conditions," said Don Roose, the president of US Commodities Inc. in West Des Moines, Iowa. "The crops aren't getting any bigger."
Corn futures for December delivery rose 7.25 cents, or 2.1 per cent, to $3.495 a bushel on the Chicago Board of Trade, after earlier reaching $3.50, the highest since July 7. The price climbed 6.8 per cent for the week, after falling for seven straight weeks. For the month, corn dropped 4.8 per cent, after losing 16 per cent in June.
Soybean futures for November delivery rose 11 cents, or 1.1 per cent, to $9.82 a bushel in Chicago, up 7.3 per cent this week, the biggest weekly gain since early April. For the month, soybeans advanced 1 cent, or 0.1 per cent, after falling 17 per cent in June.
The condition of the corn crop deteriorated in the week ended July 26 as dry soil stressed some fields from Minnesota to Ohio, the US Department of Agriculture said this week.
About 70 per cent of the corn was in good or excellent condition, down from 71 per cent a week earlier, the agency said. A year earlier, the figure was 66 per cent. An estimated 67 per cent of soybeans got the best ratings, unchanged from a week earlier and up from 62 per cent a year earlier.