Record High Corn Prices. . . Supply Shrinks

Rev 6:6 NAS And I heard something like a voice in the center of the four living creatures saying, "A quart of wheat for a denarius, and three quarts of barley for a denarius; and do not damage the oil and the wine."

Editor's Note: The rider of the black horse carries with him famine and economic collapse, signified by the weighing scales and the exorbitant prices for food.

CornIllinois Farm Bureau says the state is experiencing the sixth driest year on record.

Agricultural meteorologists are forecasting hot, dry weather for the next two weeks which will continue to wreak havoc on the corn and soybean crops in the western and northern sections of the Midwest. Rain in the east will provide some relief for the soybean crops.

Drought in the U.S. is spreading into the west and northwestern food-belt which will lead to further stress and even more crop losses. Hot, dry weather will continue in Illinois, Iowa, Kansas, Nebraska, the Dakotas and western Wisconsin for the next few weeks. Temperatures have been hovering around the one-hundred mark in Chicago and St. Louis. It will be cooler this weekend but hotter weather is expected to return next week.

The drought is escalating and is the worst in over 50 years. The devastation last week left only 40% of the crop in good condition. This week that level has dropped down to 31%. Soybeans are at 34% of the retrievable level, but unlike corn there is the possibility of a recovery.

These kinds of losses reflect in the food chain. We have not seen any effect yet in the beef, pork and chicken market, but by this next spring the higher prices will be passed on to the consumers.

Cereals and other corn-based food products are not likely to show a big rise in price but will reflect an increase of about 12 cents a box.

Ethanol is another story. That issue is heating up. Producers have already been shutting down some of their production due to the receding demand.

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