U.S. grain prices soar as floods shut waterways, threaten crops
CHICAGO • U.S. grain farmers scrambled to find shelter for their crops and handlers hunted for alternative transportation routes, as widespread floods shut waterways from Illinois to Missouri and spurred a surge in physical prices of corn and soybeans.
The sudden jump in prices could complicate a months-long stand-off between farmers who are unwilling to sell their bumper crop at low prices and buyers who have refused to budge on their cash offers amid plentiful supplies.
It could also further curb export demand, with U.S. traders struggling to compete with their cheaper Latin American rivals.
Cash premiums for soybeans in the U.S. barge market, jumped to as high as 70 cents per bushel on Wednesday, their loftiest since mid-November as the rapidly rising waters forced the Coast Guard to shut a five-mile section of the Mississippi River, including the harbor at St. Louis, traders told Reuters.
http://www.stltoday.com/business/local/u-s-grain-prices-soar-as-floods-shut-waterways-threaten/article_c9985b7c-b3ec-52f4-8399-a866c86ccc51.html
