Speedy harvest cuts grain prices Grain markets sank on Monday, with soyabeans hitting the exchange-imposed limit, as a speedy harvest by US farmers offset its disappointing size. Agricultural commodities from corn to soyabean meal each lost more than 3 per cent, leading the benchmark Reuters-Jefferies CRB index lower and undermining the belief that monetary easing by the US Federal Reserve will drive up the price of raw materials. The declines brought some short-term price relief for feed grain consumers such as livestock and ethanol companies after the worst drought in the US in half a century damaged crops. Analysts said that high prices were necessary to keep demand in check at a time of low stocks. CBOT December corn, the new front-month futures contract, fell as much as 4.4 per cent to $7.48 per bushel, the lowest price since mid-July. CBOT November soyabeans slid 70 cents, or 4 per cent, to $16.69 per bushel, while CBOT December wheat declined 5 per cent to $8.78 per bushel. CBOT October soyameal, which is crushed from soyabeans to mix into feed, dropped 3.8 per cent to $503.50 per short ton. The selling came as harvesting gained momentum in the US, which is the world's biggest agricultural exporter. The government said late Monday that 26 per cent of the US corn crop has been harvested, three times more quickly than the average rate. "Everybody is talking about harvest pressure," said Dave Smoldt, a grain broker with INTL FCStone in Iowa state. We should see fairly good weather for the last two weeks of the month, and 50-60 per cent of corn could be harvested by the end of the month, a record pace. Hastening farmer sales are concerns about aflatoxin, a byproduct of a type of mould that has been shown to be harmful to animals in high doses. The agricultural industry worries aflatoxin could pervade the corn crop after this year's record heat and severe drought. Some farmers who would otherwise store corn in their own bins are instead selling it to avoid aflatoxin risks, pressuring prices, said Chris Narayanan, head of agricultural commodities research at Société Générale. "They don't want to deal with it," he said. At these cash prices, they're still making money. Cargill AgHorizons, which operates grain elevators, wrote in a comment to customers: "The earlier harvest will pressure spot markets as farmers look to move grain off the combine to take advantage of higher prices and reduce quality issues in the bin." The market also came under pressure on forecasts of wetter weather in Brazil, as the leading soyabean producer prepared for its growing season, said Richard Feltes, vice-president at broker RJ O'Brien in Chicago.