From Agrimoney:
Surprise rise in feed demand lifts corn prices
Corn futures extended gains, contrasting with weak performances in soybeans and wheat, after US farm officials, in a much-watched report, hiked their estimate for use of the grain by livestock farmers, maintaining a picture of tight supplies.Here's the report.
Chicago corn futures for May, the best-traded contract, initially soared 2.0% after the US Department of Agriculture, in its monthly Wasde crop report, added 100m bushels to its estimate for consumption of the grain as feed in 2012-13.
The upgrade reflected in particular "continued expansion in poultry production", the USDA said, besides a growing appeal by importers for US supplies of rival grain sorghum, after a disappointing harvest in Australia.Levels of placements of eggs for hatching into broiler chickens have proved higher than initially expected, given elevated feed prices, with prices of chicken meat too proving unexpectedly strong....MUCH MORE
