Corn futures falls as weather conditions may aid US planting

Corn fell for the fourth time in five sessions on speculation that warmer weather in the central US will dry muddy fields and warm soil for planting of the country's biggest crop.

Warmer-than-usual temperatures next week will melt snow in the northern Midwest and begin to firm up sodden ground in the South, Drew Lerner, the president of World Weather Inc., said. Planting was delayed the last two years by wet, cold weather. Corn planted after May 10 begins to lose yield potential in most of the Midwest.

The forecast for dry conditions into April may mean farmers will plant on time and probably plant more, said Joe Vaclavik, a commodity broker at Advantage Traders Group LLC in Chicago.

Corn futures for May delivery fell 4.5 cents, or 1.2% to US$3.605 a bushel at 11:38 a.m. on the CBOT. Earlier, the price declined to US$3.59, the lowest level for the most-active contract since February 9.

Recently, corn dropped 12% this year, partly on forecasts for larger crops in Argentina and Brazil, the biggest exporters after the US. The USDA valued the 2009 US corn crop at US$48.6 billion.