La Nina may harm already low corn and soybean stocks, says US expert

GLOBAL corn and soybean stocks remain low, leaving both commodities vulnerable to the threat posed by the La Nina weather phenomenon to production in Argentina and southern Brazil, US Department of Agriculture chief economist Joseph Glauber said yesterday.

“Stocks levels for both those commodities are still quite low. There is a lot of volatility because of that and I think that the markets are reflecting that uncertainty right now.”

Corn and soybean prices on the Chicago Board of Trade have been rising as a drought centred on Argentina and southern Brazil threatens to reduce yields, particularly of corn as the crop enters its critical pollination phase.