(Bloomberg) -- Corn and soybean futures bounced back on Friday, posting a small recovery after reaching the lowest levels since 2020 this week.
Contracts of corn for December delivery gained as much as 1.6%, snapping a run of three straight declines and trading again above the key psychological level of $4 per bushel. November soybean contracts rose as much as 1.5%.
The worst dollar slump this year is a positive development for grain markets as a weaker currency makes US supplies more competitive abroad, encouraging export demand.
Still, the outlook for both commodities — key ingredients used in everything from chicken feed to biofuels — remains predominantly bearish as abundant rain across the US farm belt should keep the prospect for a bumper harvest largely intact. Brokerage firm StoneX Financial Inc. forecasts that US corn yields are expected to reach a record 182.3 bushels per acre this year, topping government estimates.
On Thursday, corn futures reached the lowest price since November 2020, while soybeans traded at the lowest level since October 2020.
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