Even though the flooding in June wiped away some cornfields, the warm weather after the flood receded has helped corn surge back, resulting in the steep drop in price.
December delivery for corn dropped 21 cents to finish at $6.29 a bushel on the CBOT. That's the lowest price point since May 30.
The flooding had driven up prices in June to as high as $7.96 a bushel; more than a 20 percent increase.
The specific corn-related reasons for the decline the good weather is expected to help the corn to pollinate great during the July 20 to July 30 period. That's the most critical period for the pollination period, which determines what the extent of the corn yield will be.
Another reason for the decline in prices is the decreased demand, which has offset the lower production levels.
The year-end corn production is projected at 11.7 billion bushels by the USDA. That's about 20 million bushels less than its June forecast.
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