US cuts fuel fear of food inflation

SOYBEAN and corn futures jumped yesterday, helping power a broad rally across commodities as both hit 30-month highs after the US government made deep cuts in crop stocks.
The run-up in agricultural prices added to concerns about food inflation around the world. Soybean and corn futures jumped four per cent each ­– to hit $320 to $360 per short ton and $6.31 a bushel respectively – hitting the daily limit on the Chicago Board of Trade, after the US Department of Agriculture estimated year-end crop stockpiles below market expectations.