3. Corn balance sheet.
Experts at the University of Illinois ran some numbers and came up with an expected balance sheet for corn for the next marketing year. With the latest USDA numbers projecting the lowest corn prices in 4 years, what happens in 2015 will be pivotal, say Darrel Good and Scott Irwin, University of Illinois ag economists.
Our analysis suggests there is potential for new crop corn prices to move higher if: i) this year's growing season points to a U.S. average yield at or below trend value of 164 bushels; and/or ii) demand is not as weak as some appear to be assuming. We maintain expectations for a 2015-16 marketing year average price near $4.25.
Read more about their balance sheet projections for corn.