Record-breaking heat waves across the U.S. have the corn crop sweating.
Intense heat paired with existing or developing droughts is causing commodity markets to skyrocket and early predictions to form – some forecasters even calling for 2012-level price spikes.
Feeling the (barometric) pressure. According to Eric Snodgrass, principal atmospheric scientist at Nutrien Ag Solutions, a ridge of persistent high pressure is to blame for much of this temperature tantrum.
His models suggest that the pressure could continue over the center of the country into July. Another contributing factor is that the jet stream is farther north than its typical position for June.
Here comes the sun: Within the last week, there have been more than 1,853 heat records broken in the US – with heat advisory warnings issued for an area stretching from Kansas to West Virginia, according to Jim Wiesemeyer, Pro Farmer Washington analyst.
Riding the bull (market): “In the next two to three weeks we could see quite a violent upswing like you saw on 1988 and 2012. I think we’re going to the moon, and that’s the opportunity as a seller when you want to start really thinking about how are you going to start providing some protection for the long-term,” noted Bob Utterback, Utterback Marketing.