Indiana Grain Company, LLC

Posted: 11/08/11

By: tomgrisafi

Crop prices closed higher Tuesday before a government report that is expected to show tighter corn supplies next year.

On Wednesday, the U.S. Department of Agriculture is set to release its monthly survey of global grain and bean supplies. It’s the first government report since farmers harvested their crop last month.

As chronicled in tonight's Washington Post, traders largely believe that the U.S. corn harvest will be smaller this year because of an unusually hot summer. Corn hit a record price of $7.99 a bushel in June on fears of a shortage in 2012. Prices have fallen since then after farmers planted the second biggest corn crop since World War II.

Corn for December delivery rose 7.25 cents Tuesday, or 1 percent, to settle at $6.605 per bushel. December soybeans rose 3.25 cents to $12.05 a bushel. December wheat gained 18.25 cents, or nearly 3 percent, to finish at $6.57 per bushel.

Source: Washington Post

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