As anticipated, the US corn harvest is coming in as the largest on record at 13.9 billion bushels. The corn market has drifted lower during this harvest season due to the the increased supply.  Further downward pressure for corn came from the EPA announcement that a reduction in the ethanol to gas mix is being proposed. Reducing the ethanol mix in gas would lower the demand for corn.  Corn futures now sit at the monthly trendline at $4.15.  Prices at the monthly trendline are important.  The best time to get into a long-term investment is when the market has come back to the long-term trendline.

After the rally last month to over $7/bushel, the wheat market has come back down to around $6.40. There is plenty of competition worldwide for US wheat exports, especially from Russia and Ukraine. The positive is US wheat has higher protein content than growers in other parts of the world and thus remains in high demand. Support for wheat lies at the $6.30 area and again at the $5.75 area.

Check out the articles below for a more comprehensive look at the bulk food market news.  Contact us at sales@bulkfoodinternational.com or 816-833-8062 and we can help you get started investing in bulk foods as a tangible asset you have possession of, instead of just a piece of paper.  You can download a copy of our product catalog here.

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