Corn, Soybeans May Rise as Wet, Cool Weather Stalls Planting

Corn and soybeans may rise this week as wet, cool weather may delay planting in Canada and the U.S., increasing the risk of reduced acreage and yields.

Twenty-two of 31 traders and analysts surveyed from Tokyo to Chicago on April 15 said corn will advance, and 19 of 32 respondents forecast a gain for soybeans. Last week on the Chicago Board of Trade, corn futures for July delivery dropped 3.2 percent to $7.495 a bushel, snapping a four-week rally, and soybean futures for July fell 4.3 percent to $13.4325 a bushel.

Last week’s declines in corn and soybeans were a surprise to the majority of respondents surveyed on April 8. Since 2004, the surveys have been correct 56 percent of the time for corn, and 53 percent for soybeans.

Bullish on corn: 22 Bullish on soybeans: 19 Bearish on corn: 9 Bearish on soybeans: 13.

(Source: http://www.bloomberg.com/news/2011-04-17/corn-soybeans-may-rise-as-wet-cool-weather-stalls-planting.html)