Friday, February 26, 2010

Corn Prices Rise on Weather

Corn Prices 2010

Although it's only speculation at this time, corn prices surged on the possibility melting show in the mid-west will result in flooding, which will in turn cause a smaller planting of corn by farmers in the spring.

A smaller planting of course will end up with a smaller yield of corn.

Even so, estimates from the USDA have corn acreage to be planted this year at some 89 million, up from the 86.5 million acres in 2009.

With weather expected to be at very cold levels in the region for the next three weeks, along with a potential 6 inches of water inherent in the snow laying on the ground of the great plains and the mid-west, that will put back the normal time of the spring thaw, making it harder to plant as well as harvest corn.

Taking that all into consideration, the question is whether the additional corn acreage planted in 2010 will make up for the late season and possible crop shortage in some areas.

Corn Prices 2010

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