Grain prices have shot up in recent weeks, as dry, hot weather continues to wreak havoc on the Midwest and threaten the crops planted there.
In fact, corn and wheat futures have spiked more than 30% during the past month, while soybean futures are up almost 20%. Last week, the U.S. Department of Agriculture estimated that corn production would fall 12% this month, sending the price per bushel of corn near record highs.
Analysts don’t expect to see much relief from current prices unless the weather improves.
Prices for feedstock grains like corn and soybeans are also getting a boost as the middle classes in India and China grow, and begin to include more meat in their diets.
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