Commodity prices will tumble if U.S. farmers harvest record corn and soybean crops this fall, says Farm Futures. It says a survey of 1,325 growers points to a corn crop of 14.331 billion bushels, or 3 percent larger than the 2013 record crop, and a soybean crop of 3.857 billion bushels, 13 percent larger than the 2009 record. Immense crops would build up surpluses – the corn carryover could top 2 billion bushels, an eight-week supply, and soybeans 400 million bushels, a six-week supply.
Burdensome stockpiles “could send the average cash price for the crop under $3.75, with futures prices already below that level,” said Bryce Knorr, grain market analyst for Farm Futures, referring to corn. Even with large exports, the season-average soybean prices could fall below $10 a bushel, he said. It would be the lowest farm-gate average price for corn and soybeans since the 2009 crops.