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.
Due to the ongoing drought affecting a large portion of the United States, the price of corn bushels are up “50%.” Because of the increase in the price of corn, many experts in a variety of fields are vocalizing their concerns with the use of corn to produce ethanol.
If you've been to a supermarket in the past 2 months, you've noticed that the price of corn has surged 50%! Price momentum indicates corn could rise at least 21 percent over the next six months, putting $9.50 a bushel or even higher into play.
CORN/HOG RATIO - A feed ratio used to determine the profitability of raising livestock. The corn/hog ratio is the price of one hundred pounds of hog (cwt) divided by the price of a bushel of corn. The ratio is used to help farmers determine the value of a crop of corn is compared to the value of a hog that they would have to feed with the same crop of corn. via investopedia.com