Corn May Rise on Dwindling U.S. Stockpiles; Soybeans May Gain

Corn may rise after the government said U.S. inventories left from last year’s crop on March 1 were smaller than expected. Soybeans may rise as U.S. farmers intend to cut the area planted to a three-year low.

Twenty-three of 29 traders and analysts surveyed from Tokyo to Chicago on April 1 said corn will advance this week, and 19 forecast a gain for soybeans. Last week on the Chicago Board of Trade, corn futures for May delivery jumped 6.7 percent to $7.36 a bushel. May soybean futures gained 2.6 percent to $13.9375 a bushel.

Last week’s advances in corn and soybeans were expected by the majority of respondents surveyed on March 25. Since 2004, the surveys have been correct 56 percent of the time for corn, and 53 percent for soybeans.

Bullish on corn: 23 Bullish on soybeans: 19 Bearish on corn: 6 Bearish on soybeans: 10.

(Source: http://www.bloomberg.com/news/2011-04-03/corn-may-rise-on-dwindling-u-s-stockpiles-soybeans-may-gain.html)