Corn shoots higher on weather, ratings
U.S. corn futures jumped Tuesday on lower reported crop ratings and worries that hot weather could damage crops in the Farm Belt.
Chicago Board of Trade September corn futures settled up 9 cents, or 1.7%, at $5.45 1/4 a bushel.
Dry conditions in parts of the western Farm Belt reduced quality ratings for U.S. corn crops in the past week, a U.S. Department of Agriculture report showed Monday. Corn crop ratings deteriorated in Nebraska, Kansas and Missouri, even though analysts had generally expected ratings to hold steady or slightly improve.
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Traders are also worried about forecasts for hot weather over the next two weeks, as much of the nation's corn crop enters its crucial pollination phase. Unfavorable weather conditions could cause irreversible damage to corn crops, leading to a smaller harvest than originally expected.
Soybean futures also rose on lower crop condition ratings in the USDA report and concerns about unfavorable weather forecasts.
Wheat futures ended flat to higher, with their gains limited as some traders who bought corn or soybeans paired those bets with sales of wheat futures. Condition ratings for spring wheat crops also declined in the USDA report.
August soybean futures settled up 21 1/2 cents, or 1.5%, at $14.75 1/4 a bushel. CBOT September wheat futures settled flat at $6.69 1/2 a bushel.
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(END) Dow Jones Newswires
July 16, 2013 14:36 ET (18:36 GMT)
DJ U.S. Corn Settles Up on Condition Ratings, Weather Worries->copyright
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