Corn, Soybean Prices May Rise as Adverse Weather Menaces Crops

Corn and soybeans may rise for the second straight week on speculation that wet, cold weather will delay planting and reduce yield prospects in the U.S., while rain threatens oilseeds ready for harvest in Brazil.

Nineteen of 26 traders and analysts surveyed from Singapore to Chicago on March 18 said corn will advance this week, and 20 of 27 respondents said soybeans will gain. Last week on the Chicago Board of Trade, corn futures for May delivery rose 2.9 percent to $6.835 a bushel, and soybeans futures for May delivery gained 2.1 percent to $13.625.

Last week’s advances for both commodities were expected by the majority of respondents surveyed on March 11. Since 2004, the surveys have been correct 55 percent of the time for corn, and 53 percent for soybeans.

Bullish on corn: 19 Bullish on soybeans: 20 Bearish on corn: 7 Bearish on soybeans: 7.

(Source: http://www.bloomberg.com/news/2011-03-20/corn-soybean-prices-may-rise-as-adverse-weather-menaces-crops.html)