USDA Cuts Corn and Soybean Harvest Estimates

September 12, 2008- The U.S. government is reducing its forecast for this year's corn and soybean harvests due to dryer weather, potentially leading to higher prices.

The U.S. Agriculture Department estimates corn production will be 12.1 billion bushels, down from an estimate of 12.3 billion last month.

The soybean crop is projected slightly lower, at 2.93 billion bushels, down from 2.97 billion.

The USDA says that dryer August weather is expected to lead to lower yields per acre than it previously estimated for both corn and soybeans.