Price drops coming, bank says
U.S. investment bank Goldman Sachs Wednesday said it expects significant downside potential during the second half of this year to agricultural markets unless an extreme weather shock can occur to support prices.
"Driving our negative view on agriculture is a large Latin American harvest that is likely to be supported by a large North American harvest should June weather allow for planting to conclude and then summer weather not be too detrimental to yields," the bank said.
"Should weather conditions this summer remain near average, record large U.S. and South American corn production point to sharply lower prices in the second half of 2013," it added.
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(END) Dow Jones Newswires
June 12, 2013 06:07 ET (10:07 GMT)