It is widely anticipated that the 2012-13 corn marketing year
will be a transition from the current environment of tight stocks and high
prices to one of a large crop, increasing stocks, and lower prices. The futures
market reflects that expectation as the March 2013 futures price is currently
trading $0.80 to $0.85 below the March 2012 price.
While there is general agreement on the likely direction of
production and stocks in the year ahead, there is considerable uncertainty about
magnitudes. That uncertainty starts with the likely level of stocks at the end
of the current marketing year. Some light will be shed on that issue, as well
as the potential size of the 2012 crop, when the USDA releases the quarterly
Grain Stocks and the annual Prospective Plantings reports on
March 30. <Read More>
No comments:
Post a Comment