The dry weather impacting much of the Corn Belt led to USDA reducing their estimated corn yield.
"I don't think that anyone is going to be surprised by the estimate in and of itself just because we saw from June 1st, 13-percent in drought conditions and now 60-percent of the crop in drought condition."
USDA Chief Economist Joe Glabuer says they reduced the yield about 12-percent from their earlier estimates.
"We brought the corn yield down to 146 bushels per acre."
Glabuer says this year will be a weather market.
"Just looking out over the next couple of weeks the forecast is still not very favorable for crop development."
Glabuer says lower yields means they also had to adjust price estimates for July.
"We brought our price up about a dollar-thirty per bushel at the mid-point and the mid-point around $5.90 and again that is not too far off from the record we are seeing this year."
(Copyright 2012 by The Nebraska Radio Network. All Rights Reserved.)
(Image courtesy of Stock.xchng)
