December 2010 corn futures traded to a high of $3.95 in mid-April, retreated to a low of $3.67 early last week, and then rallied back to $3.95. The current price is about $.40 above the contract low established in early September 2009 and about $.75 below the high reached in early June 2009. The contract high, reached in mid-2008, is over $7.00. According to University of Illinois agricultural economist Darrel Good, weakness in corn prices starting in mid-April primarily reflected supply considerations: generally favorable weather for planting, expectations that acreage could exceed March intentions, and expectations that the 2010 yield would be above trend value due to a majority of the crop being planted early. "The current strength in corn prices reflects more favorable demand prospects," Good said. "There is a fair amount of optimism about corn demand in each of the three major categories of consumption." Recent data confirm increasing production and consumption...
Commodity reports and news related to the marketing of produce and other goods.