Good harvests forecast in U.S.

WASHINGTON, Aug. 13 (UPI) -- The U.S. Agriculture Department predicts U.S. growers will harvest the biggest corn crop on record, a report said Wednesday.

Big soybean and wheat crops are also expected, the Wall Street Journal reported.

The worst dry spell and heat wave in decades is slashing the potential size of the European Union's grain harvests, potentially reducing the competition faced by U.S. wheat exporters.

In a flood of monthly updates Tuesday on the farm economy, government economists also raised their 1-month-old estimates for the prices U.S. farmers will receive for their corn, wheat, soybeans, rice, cattle, hogs and milk.

While the U.S. farm economy has many moving parts, making a broad outlook difficult, the reports suggest that the U.S. farm belt's recovery from a five-year-long recession is gathering steam.

"The reports, on balance, suggest a stronger farm economy," said Keith Collins, USDA Chief Economist.