Corn and soybean harvests are projected to beat last year’s record harvest in the U.S. Along with smaller domestic herds, this is putting downward pressure on prices. Corn Futures Prices have fallen 12 percent on a year-over-year basis, down to $3.77 per bushel in October, the lowest price since June 2010. Soybeans Futures Prices are also on the decline, down 18.3 percent year-over-year to $10.47 per bushel at the end of October. Plummeting corn and bean prices will be advantageous for livestock producers going forward.
Jim Chappelow is an economist at ITR Economics. For more information, contact ITR Economics at (603) 796-2500, or visit www.itreconomics.com.