June 23, 2008
US corn slips from record highs on improving Midwest weather
US corn futures fell by 2 percent from record highs last week in early Asian trading on Monday (June 23, 2008) due to drier weather conditions in the Midwest.
Commodity markets were further pressured by the recent proposal of Senator Joseph Lieberman to limit speculation in the crude oil futures market.
Woori Futures trader said that the selling pressure is mounting as weather conditions improve.
However, the US corn market could receive some support this week as the Federal Open Market Committee meets to decide interest rates and an expected drop in the US dollar may follow, the trader added.
July corn futures were down 1.6 percent to US$7.1 a bushel, ahead of the updated corn acreage estimates to be released on June 30 by the USDA.
Meanwhile, soy futures were weaker by expectations that some ruined corn acres would be reseeded with soy, which can be planted later in the season.
Argentina's expected resumption of soy shipments also added pressure to the soy market.
July soy contract dropped 0.8 percent to US$15.20-¾ a bushel.
Wheat also followed the retreat in corn and soy, with July contract down 1.8 percent to US$8.51 a bushel.
