What Is To Blame For The Recent Collapse Of Corn Prices?
The grain markets were rising from mid-December until the USDA’s Final 2011 Crop Production Report, Supply Demand Report, and Quarterly Grain Stocks Report, which were all released on January 12. Declining yields in Brazil and Argentina had been pushing up values at the CME, until last Thursday, until the USDA released data that surprised the market. Corn closed down the 40-cent limit, and both bean and wheat markets also collapsed with abandon. Was the market drop the result of USDA finding a lot more available grain to supply the domestic and global demand, or was it the result of something else?
Posted by Stu Ellis on 01/17 at 10:37 PM | (3) Comments | Permalink
Page 1 of 1 pages