Analyst: Demand should increase
WATSEKA – As corn and soybean prices go down, demand should increase somewhere down the road.
That’s the belief of Merrill Crowley of Crowley Commodities in Watseka. He acknowledges a decent looking crop is out in the fields currently and there aren’t too many weather concerns to speak of.
“While we don’t like the prices where they are, that’s the market doing its job trying to discourage acres and increase demand,” Crowley told The Central Illinois Farm Network Tuesday afternoon.
There are a few concerns with the corn crop such as growers withholding nitrogen due to prices and kernel depth not being very deep.
“This corn could fill out quite a bit more. We do not have the weather threat,” Crowley added.
Crowley says frost tends to happen following a hot year. This could impact some of the later planted corn. The next thing to watch will be the South American crop with a La Nina weather pattern coming in, which could cause dryness in those growing regions.
Crowley Commodities can be reached at 815-432-2220.