Economist pegs 2013 MYA price for corn near $6 per bushel - Current Chicago Mercantile Exchange (CME) futures prices suggest that market year average (MYA) corn prices for 2013 will be near $6.00 per bushel.
Iowa’s farmers and state economy watchers face the reality that a “historically rare period” of prosperity for Iowa agriculture may be ending. The U.S. Department of Agriculture last week forecast a return to more normal corn surpluses of almost 2 billion bushels. The more ample supplies could drive down corn prices to as low as $4.20 per bushel by year’s end, compared with an average price of $6.20 in 2011, the USDA predicted.
$5.50-per-bushel corn possible if yield normalizes in 2013 - A return to more normal U.S. corn yields in 2013 could send new-crop prices spiraling downward, but persistent drought in some of the nation’s top corn-producing states could have the opposite effect, says Purdue Extension agricultural economist Chris Hurt.
"“We saw how price spikes caused by this government mandate impacts turkey growers when corn prices reached almost $8 per bushel: U.S. turkey production declined by 9 percent, resulting in loss of rural jobs.”
TUESDAY, July 31, 2012 - The price of corn has soared during recent weeks as extremely hot and dry weather bakes states in the Midwest. Corn futures surged almost 22 cents on Monday to $8.20 per bushel, near the all-time high of $8.24½ hit on July 20. Investors are worried the U.S. drought will ravage crops. That has pushed corn up 27% this year and stirred fears of higher food prices.