The likelihood of inclement weather continuing in the Midwest helped push corn futures to their highest price since September of last year, according to Bloomberg.
The next week-plus is likely to see a continuation of the parched weather, which helped fuel speculation that exports from the U.S. will drop. The nation is the globe's largest generator of corn.
"The crops are shrinking daily, and the market is pricing in the risk for less available supply for export and domestic usage," president Jim Gerlach with A/C Trading Inc. in Indiana told Bloomberg. "The path of least resistance is for higher prices until the crops get enough rain to stabilize yields. Demand is already starting to slow."
At 2:38 p.m. on Monday, corn futures surged 4.46 percent, a 0.33 cent lift to $7.7325 per bushel.
MarketWatch reports the agricultural commodity's performance on Monday marks the third consecutive trading session of gains. The drought-like weather is increasingly of issue to farmers, the fall harvest and investors. A very minimal amount of rain is expected for the remainder of the week.
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