The US Dept of Agriculture's Friday crop report has left traders carrying short positions in corn (CORN) with a decidedly sickening feeling in the pits of their stomachs.

The federal agency warned that the summer's blistering hot weather has shrunk yields from 165 bushels per acre down to 162.5. The crop in Illinois is looking very poor, and conditions overseas continue to deteriorate at a rapid rate.

In the meantime, the ethanol industry continues to gobble up