Wet weather, slow planting send corn price higher

(AP Photo/Seth Perlman)

Wet weather and planting delays for this year’s crop are sending corn futures higher.

Corn for July delivery rose 8 cents to $5.22 a bushel Tuesday. Corn has been rising steadily since the beginning of the year and is up 24 percent so far.

Wheat and soybean futures also rose. The July wheat contract rose 8 cents to $7.17 a bushel and soybeans for delivery in the same month rose 17 cents to $15.17 a bushel.

A report released Monday afternoon by the U.S. Department of Agriculture showed that planting for this year’s corn crop is going much more slowly than normal, said Brandon Marshall, a commodity analyst with Northstar Commodity in Minneapolis.

The crop progress report indicated that just 19 percent of the corn crop has been planted, less than the 20 to 25 percent the market was anticipating. That’s also below the five-year average of 31 percent for this time of year, Marshall said.

“You’re getting some increase in price based on the slow planting pace,” Marshall said. “The later the crop is planted, the greater the chances it might not be as good.”

Forecasts for more wet weather in the coming days could keep the upward pressure on corn futures going, he said.

Metals prices ended mixed.

June gold edged down $2.70 to $1,296.30 an ounce. May silver fell 10 cents to $19.49 an ounce. July copper slipped two cents to $3.07 a pound.

Platinum for July delivery rose $11.70 to $1,431.40 an ounce and June palladium rose $7.20 to $807.90 an ounce.

Energy futures rose slightly. Crude oil rose 44 cents to $101.28 a barrel.

Wholesale gasoline for June delivery rose 22 cents to $3 a gallon, June heating oil rose 2 cents to $2.96 a gallon and natural gas rose three cents to $4.83 per 1,000 cubic feet.

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