Corn has been getting crushed.
On Tuesday, corn futures fell to a four-year low, according to Bloomberg’s Megan Durisin.
Durisin reported that futures contracts for December delivery touched $US3.2475 a bushel on the Chicago Board of Trade, the lowest since June 2010.
In a September 11 report, the US Department of Agriculture raised its expectations for year-end corn supplies to a record of more than 15 million bushels.
Seven per cent of corn in the US was harvested last week, lagging behind the five-year average of 15 per cent, according to a research report from Morgan Stanley. Yet, hotter-than-normal weather for this time of year will help corn crops mature even faster, the firm said. More supply means lower prices.
Here’s what the price chart looks like:
The Department of Agriculture also expects a record harvest for soybeans. On Monday, soybean prices also sank to the lowest level since 2010.
Here’s the ugly chart for soybeans.