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| The weather continues to play truant this year, with some reports claiming that crops conditions in the important regions of Iowa and Minnesota are deteriorating. Considering the way the temperatures shot up toward the end of August, those reports may have substance. Investors will be best informed if they track the U.S. Department of Agriculture's releases.
In particular, keep an eye on the Crop Production report that is slated for a September 12 release. The comprehensive report will carry USDA's projections about the size of essential crops like corn and soybeans. On last count, the USDA was expecting record corn production and the third-largest soybeans crop this year.
If drought-like conditions exacerbate in the Midwest, the USDA may revise its yield projections downward. That should lift corn prices and particularly help companies like CF Industries (NYSE: CF ) . CF's primary product nitrogen, which makes up more than 80% of its total revenue, is also the most essential nutrient for corn crop. Higher corn prices mean higher farm income and greater demand for fertilizers.
http://www.fool.com/investing/general/2013/09/06/3-crucial-developm...
Edited by Gottlieb 9/6/2013 21:58
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Motley Fool telling investors USDA was expecting huge crops and "start reading headlines"
