Home / Markets / Markets Analysis / Corn market / $7 Dec. corn futures?

$7 Dec. corn futures?

06/19/2012 @ 8:44am

While CBOT December corn futures for 2012 and 2013 trade at parity now, expect this year's price to grow substantially versus December 2013 amid concerns with the current crop, says Morgan Stanley. Mid-term weather forecasts are hot and dry, which is bad news for a crop nearing its crucial pollination phase and has been boosting near-term futures of late. Morgan Stanley predicts the spread between the December contracts could approach the $1.08/bushel level seen last year between December 2011 and 2012. "We see no reason that Dec 12 could not test $7 again by late summer if weather conditions do not improve," it adds. December futures are currently at $5.49. (ian.berry@dowjones.com; @enberry)

(END) Dow Jones Newswires

June 19, 2012 09:12 ET (13:12 GMT)

DJ MARKET TALK: Corn-Crop Woes Could Have Big Spread Implications->copyright

CancelPost Comment
MORE FROM DOW JONES NEWSWIRES more +

More Pig Losses Seen, Smithfield Says By: 05/14/2014 @ 7:55am The swine industry is struggling to contain a deadly virus that's sweeping U.S. hog farms…

Senators Turn Up Heat on Railroad Companies By: 05/13/2014 @ 11:39am Four Midwestern U.S. senators add their voices to a growing chorus of farmers, ethanol producers…

Summary of Friday's WASDE Report By: 05/09/2014 @ 2:53pm The following table is provided as a service to Wall Street Journal subscribers in conjunction…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
Soybeans Rally on Demand, Weather