Corn plunged to the lowest in almost 10 months on speculation that improving weather will boost planting in the U.S., the world’s biggest grower and exporter. Soybeans and wheat also fell.
The condition of U.S. corn and soybean crops deteriorated to the worst since 1988 as the country’s most widespread drought in 56 years caused damage to plants across the Midwest.
Wheat futures slumped to a seven- month low as precipitation in the southern Great Plains boosts prospects for plants that are dormant for the winter in the U.S., the world’s biggest grain exporter.
Soybeans surged to the highest in more than a month as dry weather threatens crops in South America and demand for U.S. inventories increases. Corn also rose, while wheat fell.
Wheat futures fell, extending a slump to a five-month low, on signs that demand is waning for exports from the U.S., the world’s top shipper. Corn and soybeans also declined.
Wheat gained for the fifth time in six sessions as wet weather in Canada, the second-biggest shipper of the grain, may reduce planting to its lowest amount in almost four decades. Corn and soybean also rose.
Wheat fell the most in more than three weeks as an unexpected drop in U.S. exports dimmed prospects for demand after a drought-fueled price surge since mid-June.
Wheat futures fell the most in two weeks on speculation that demand for the grain used in livestock feed will shrink as corn prices slump.
Wheat rose to the highest price since January, marking the longest rally in almost eight months, after analysts lowered production estimates for Russia and France because of hot, dry weather.
"The perception is that by the end of next week some areas will be warm and dry enough to start planting again."
- Tomm Pfitzenmaier on Apr 23, 2013