By Joanna Levin
AFTER yet another week of losses on the US maize market, many analysts remain bearish.
Traders predict that maize prices have still not reached the bottom. The continuing good weather and forecasts of ideal crop conditions in Americas corn belt have raised concerns of worsening oversupply.
The Chicago Board of Trade September futures contract reached new lows yesterday (Monday, 27 July), closing at 222.75¢/bushel, down 2¢ from Friday and more than 10¢ on the week.
The decline represents a precipitous drop from last months high of 265¢/bushel, but US farmers at least look set to enjoy excellent yields at this years harvest.
The proportion of the maize crop rated good or excellent has risen to 68%, up from 66% a week ago. The crop is further advanced than many had expected, with 80% already in the silking stage, compared with 54% at this point in the season a year ago.