Courtesy AFP:
AFP - US corn and soybean prices closed at new record highs Tuesday as a new survey showed worse-than-expected crop damage from a brutal drought across the country's central breadbasket.
The price of corn jumped 1.7 percent to $8.3875 a bushel, while soybeans finished at $17.3025 a bushel, up 2.8 percent from Tuesday.
That left the corn price up 68 percent from June and soybeans 39 percent higher.
An all-time record hot July accompanied by nearly three months of extreme drought have baked the country's prime farmland in the midwestern and central states, where the world's largest corn and soybean crops are grown.
Prices jumped after reports from the annual Pro Farmer Midwest Tour gave analysts and traders more bad news on the state of the crops.
"Crops in western Ohio and eastern Indiana were far below the norm," said Pro Farmer analyst Brian Grete.
Yields in South Dakota meanwhile were called "stunningly low."
"The Pro Farmer tour sparked the rally" Tuesday, said Frank Cholly of RJO Futures.
"They have a pretty good peg at final yields," he said.
The Pro Farmer estimates were significantly lower than the US Department of Agriculture's sharply slashed forecasts from last week.
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AFP - US corn and soybean prices closed at new record highs Tuesday as a new survey showed worse-than-expected crop damage from a brutal drought across the country's central breadbasket.
The price of corn jumped 1.7 percent to $8.3875 a bushel, while soybeans finished at $17.3025 a bushel, up 2.8 percent from Tuesday.
That left the corn price up 68 percent from June and soybeans 39 percent higher.
An all-time record hot July accompanied by nearly three months of extreme drought have baked the country's prime farmland in the midwestern and central states, where the world's largest corn and soybean crops are grown.
Prices jumped after reports from the annual Pro Farmer Midwest Tour gave analysts and traders more bad news on the state of the crops.
"Crops in western Ohio and eastern Indiana were far below the norm," said Pro Farmer analyst Brian Grete.
Yields in South Dakota meanwhile were called "stunningly low."
"The Pro Farmer tour sparked the rally" Tuesday, said Frank Cholly of RJO Futures.
"They have a pretty good peg at final yields," he said.
The Pro Farmer estimates were significantly lower than the US Department of Agriculture's sharply slashed forecasts from last week.
MORE