According to the annual outlook report of Rabobank International – agricultural commodities including soybeans and corn will probably extend declines in 2014 as world supplies remain ample. According to Rabobank analysts – the world is entering a period of more balanced supply and demand fundamentals after a decade of increasing volatility that drove prices for many farm goods to records.
Lead analyst Luke Chandler says increased planting of grains and oilseeds and a potential slowdown in crop use for biofuels means prices for corn and soybeans will trend lower next year. According to Rabobank – corn may average as low as $4.10 a bushel in the fourth quarter of next year – while soybeans slide to $10.70 a bushel. Rabobank has a neutral outlook for wheat – saying the market is delicately balanced while ample corn supplies may reduce demand for the grain. The bank forecast wheat at an average $6.40 a bushel in the second, third and fourth quarters. The price outlook for cotton is an average as low as 73-cents per pound in the fourth quarter.Share