The US Department of Agriculture released its weekly drought monitor today, noting that rainfall in some parts of the US last week did almost nothing to alleviate the hardest-hit areas:
[O]nly a few scattered areas of dryness and drought experienced significant improvement. In addition, the areas with the greatest temperature anomalies (average daily maxima 10 to 13 degrees above normal) generally coincided with an area of scant rainfall across the Midwest, northwestern Ohio Valley, and southern Great Plains, resulting in another week of widespread deterioration and expansion of dryness and drought in these regions. …
In the 18 primary corn-growing states, 30 percent of the crop is now in poor or very poor condition, up from 22 percent the previous week. In addition, fully half of the nation’s pastures and ranges are in poor or very poor condition, up from 28 percent in mid-June.
The report has sent corn, wheat, and soybean prices higher today, with corn up more than 4% and wheat up about 3.5%. The Teucrium Corn Fund (NYSEMKT: CORN) is up 3.85% at $47.72 in a 52-week range of $35.23-$50.69.
Stocks that aren’t doing so well are food processors, for which higher grain prices mean higher costs. The Coca-Cola Co. (NYSE: KO) — a big user of corn syrup — is down -0.7% and Archer Daniels Midland Co. (NYSE: ADM) is down about -1.1%. Another food processor, Smithfield Foods Inc. (NYSE: SFD) is down -3.63%, and cereal maker Post Holdings Inc. (NYSE: POST) is off -3.5%.
The USDA drought report is available here.
Paul Ausick
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
