Corn notches to one-year high as temperature rises in U.S. plains

Corn plantings

U.S. corn futures climbs above 1.5 percent, hitting its one-year high record as rising temperature forecasts bring fear to potential crop losses.

Corn futures in the Chicago Board of Trade climbed 1.7 percent to $4.10-1/2 a bushel, close to the session high of $4.11-3/4 a bushel. Corn finished with a 0.5 percent gain on Friday.

Soybeans gained as much as 2 percent as fears over adverse weather pushed prices to a four-month high. Wheat, on the other hand, rose above 2 percent, bouncing back from two straight day losses.

Soybean futures gained 1.9 percent to $10.34-1/4 a bushel, close to the session high of $10.34-1/4 a bushel, its highest since May 7.

The most active wheat futures climbed 2.3 percent to $5.47-1/4 a bushel after closing down 0.7 percent in the past session. 

According to Hannah Janson, chief analyst at Profarmer, the dryness brought by rising temperature in the U.S. Corn Belt raises concerns as the crops are currently in their pollination stage. The weather condition could potentially affect the crops.

Hot temperatures are expected to spread into parts of the western Midwest next week, bringing threat to corn yield prospects. Temperatures from Kansas through Dakota are expected to climb at mid-90s to mid-100s Fahrenheit or 35 to 41 degrees Celsius next week.

Hot and dry weather forecasts continue to drive fears of widespread loss of production across the primary U.S. producing regions, gathering expectations on high protein wheat output cuts.

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