Source: 70 Percent Chance Dec. Corn Futures Hit $4.40-$4.50 – Corn – News | Agweb.com
I read this item over at Agweb twice and I still don’t understand why she thinks there’s a 70% chance corn could go over $4.40. She doesn’t give any data to actually back up that statement in the article. I hate items like this where some “expert” comes along and makes a specific statement, and then the report doesn’t give any reason why.
As of right now I don’t see any indication corn is going to go that high barring some kind of significant weather event or similar wide spread problem. We have massive amounts of corn still in storage from last year’s harvest, planned corn plantings for this year are down only slightly from last year… There basically is no pressure at all on the market to move the price up significantly.
At the moment, China has drastically cut back imports of corn to try to draw down it’s own stocks, and has increased production. There seems to be no increased demand for US corn anywhere, really. Ethanol production is relatively flat, we have grain storage facilities full to bursting with last year’s crop, weather has been relatively good… There doesn’t seem to be any reason for corn to go up almost $1 a bushel over the next few months. So why does she think it’s going to go up? Don’t know.
3 thoughts on “70 Percent Chance Dec. Corn Futures Hit $4.40-$4.50 – Corn – News | Agweb.com”
Just saw this when trying to look up these comments from earlier in the year, spot on sir!!
I often wonder why anyone listens to many of these so-called experts. They’ve been so wrong, so often in the past that I would have thought people had learned by now that they can’t be trusted. Especially when they seem to have no actual data to back up their claims.