The price of corn fell to the lowest in almost three years, as the forecast for rain in the Plains region boosted the outlook for this year’s crop.
The cooler, wetter weather will be particularly helpful for this year’s crop, because corn is currently in its crucial pollination season. The weather this summer in the corn-growing states of the U.S. is in stark contrast to the drought that the region experienced last year.
“It’s expected to be cooler than normal. That’s going to be helpful (for the crop), especially for areas that are a little short on moisture,” said Art Liming, a futures specialist at Citigroup.
Corn for December delivery fell 12 cents, or 2.5 percent, to $4.67 a bushel, its lowest price since Oct. 1, 2010. The price of corn has fallen 44 percent since surging as high as $8.39 a bushel last August.
The price of corn has moved lower since March 28, after the government reported that this year, farmers intended to plant the most corn since 1936. Prices have steadily dropped as the favorable weather has increased the likelihood of a big crop.
Other agricultural products also fell on Thursday.
November soybeans dropped 13.75 cents, or 1.1 percent, to $11.925 a bushel. September wheat fell 6.25 cents, or 0.9 percent, to $6.58 a bushel.
In metals trading, gold edged lower and silver was unchanged.
Gold for December delivery dropped $1.80, or 0.1 percent, to $1,311.20 an ounce. Silver for September delivery was unchanged at $19.624 an ounce.
Copper for September delivery rose 4.75 cents, or 1.5 percent, to $3.166 a pound. Platinum for October delivery gained $14.50, or 1 percent, to $1,443.80 an ounce. Palladium for September rose $5.50, or 0.8 percent, to $731.85 an ounce.