Corn, Soybeans to Extend Rally on Dry South American Weather, Survey Shows

Corn and soybeans may rise for a second straight week as dry weather threatens crops in Brazil and Argentina, the world’s biggest exporters behind the U.S.

Twenty-one of 26 traders and analysts surveyed from Chicago to Tokyo on Nov. 26 said corn will rise, and 20 of 27 respondents said soybeans will gain. Last week, corn futures for March delivery on the Chicago Board of Trade climbed 3.4 percent to $5.53 a bushel, and soybean futures for January delivery advanced 3.1 percent to $12.385 a bushel.

Last week’s gains in corn and soybeans were expected by the majority of respondents surveyed on Nov. 19. Since 2004, the surveys have been correct 51 percent of the time for corn and 53 percent for soybeans.

Bullish on corn: 21 Bullish on soybeans: 20 Bearish on corn: 5 Bearish on soybeans: 7.

(Source: http://www.bloomberg.com/news/2010-11-29/corn-soybeans-to-extend-rally-on-dry-south-american-weather-survey-shows.html)