Category: Agricultural Commodities
The analysis published under this category are as follows.
Wednesday, December 12, 2007
AGRI-FOOD THOUGHTS - US Agricultural Exports Surging As World Demand Grows / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
Want your wealth to grow? Then, own something that grows. U.S. exports of agricultural products this year to September were almost $62 billion. That represents a 22% increase over same period in 2006, and more than the entire year of 2004. How many industries are experiencing that type of growth? International agricultural trade for U.S., exports plus imports, was almost $115 billion, a 16% increase over 2006. Read full article... Read full article...
Sunday, December 02, 2007
Craze for Biofuel Causes Grain Prices to Soar / Commodities / Agricultural Commodities
By: Joseph_Dancy
As the dynamic economies of China, India, and Asia continue to expand the size of their middle class – and the population in these areas continues a large scale migration to the major cities – global demand for basic foodstuffs has increased significantly over the last decade. A recent swine virus has adversely impacted Chinese herds, and globally meats and grain inventories are in short supply compared to historical levels.
Meanwhile, biofuels continue to make inroads in the developed countries. The cost of the biofuel feedstock – corn in many cases – has risen with demand. The cost of alternative grains such as wheat and soybeans has also increased.
Read full article... Read full article...
Wednesday, November 28, 2007
Rising Demand for Corn As a Biofuel and From Asia / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
Agri-Food commodities are an essential part of our lives. Nearly every hour of our waking day we come in contact with something derived from corn. We eat it, drink products made from it, write on paper made with starch, and are now trying to fuel our cars with it. However, competition for corn has greatly increased. Rising consumer demand, driven by expanding incomes in China, and an attempt to expand biofuel production have driven prices up from about $1.75 a bushel two years ago. Will the price of corn soon take out the most recent high? Will state bird of Nebraska be changed to the Lexus?Read full article... Read full article...
Wednesday, November 21, 2007
Agricultural Commodities Sector Remains Attractive: 'A Sense of Panic' / Commodities / Agricultural Commodities
By: Joseph_Dancy
We continue to add to positions that should benefit from a strong global agricultural sector. Like the mining and energy sector, long term capital investments in this sector have lagged, especially in light of growing global demand for grains.
Recent events have occurred in the sector which are of interest to investors:
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Wednesday, November 14, 2007
AGRI-FOOD THOUGHTS - Thanksgiving to Feed Agricultural Bull Market / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
With the upcoming holidays, the eating season is arriving in a goodly part of world. From now till turn of calendar to 2008, food will be primary focus of many consumers. Next week is Thanksgiving in the U.S. On that day, many in the U.S. will consume as much turkey as they do in the remainder of entire year.Read full article... Read full article...
Wednesday, October 31, 2007
Agricultural Foods Price Changes Since Feb 2002 / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
Preparing comments on any investment topic day before FOMC announces U.S. interest rate policy is probably a futile gesture. That the announcement comes on Halloween provides an opportunity for cutesy comments which will be avoided. However according to the UN FAO, the world consumed 18.774 million tonnes of pumpkins, squash and gourds in the latest reporting year. Read full article... Read full article...
Wednesday, October 24, 2007
A Breakfast Buffet of Profits From Agricultural Commodities / Commodities / Agricultural Commodities
By: Money_and_Markets
Sean Brodrick writes : When I was learning this business, I sometimes used to have breakfast with an old trader. During a big selloff, he would always remind me that great stocks get dumped along with the stocks that deserve it.
My old mentor has since gone up to the great trading floor in the sky. Meanwhile, I've noticed breakfast has gotten a lot more expensive over the last few years.
Read full article... Read full article...
Thursday, October 18, 2007
USDA Drops an Agricultural Bombshell! / Commodities / Agricultural Commodities
By: Money_and_Markets
Sean Brodrick writes: The USDA dropped a bombshell last week — reporting that U.S. wheat stockpiles may fall to the lowest level in 59 years! As disturbing as that is, it is 100% bullish for grain prices, especially given soaring worldwide demand for agricultural products. Read full article... Read full article...
Wednesday, October 17, 2007
Agricultural Commodities Scenerios and Outcomes / Commodities / Agricultural Commodities
By: George_Kleinman
On any given trading day, for any market, there are four possible scenarios:
1. The market can open higher and close higher. (Bullish) 2. The market can open higher and close lower. (Bearish)
3. The market can open lower and close lower. (Bearish)
4. The market can open lower and close higher. (Bullish)
Read full article... Read full article...
Tuesday, October 16, 2007
AGRI-FOOD THOUGHTS - Food and Energy Are the Most Important Consumer Products / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
Imagine owning a company where consumers have no choice but to buy the firm's product. Consumers have no choice but to buy food. The choice is not between a new cell phone or food. Consumers buy their food first, and then consider other products. Despite the nonsense put out by economists at the Federal Reserve and other centers of misinformation, food and energy are the most important components of the consumers' spending basket. Read full article... Read full article...
Friday, October 12, 2007
Wheat and Inflation Expectations As Wheat Bull Market Soars to $9 / Commodities / Agricultural Commodities
By: Zeal_LLC
With gold challenging $750 and oil quite comfortable north of $80, this young autumn trading season has already proven exceedingly exciting and profitable for commodities investors. But for students of the markets, today's price levels in the metals and energy complex are certainly not surprising. Over six years ago the fundamentals already pointed to an inevitable worldwide commodities boom. Read full article... Read full article...
Thursday, October 04, 2007
Your Next Big Profits from Gold, Agricultural, OIl Water Stocks / Commodities / Agricultural Commodities
By: Money_and_Markets
Larry Edelson writes: On July 26, I told you the dollar's demise was going to dramatically affect you in myriad ways, not the least of which would be soaring commodity prices — especially gold — and falling stock prices.
Then, on August 23, I said the second phase of the inflationary commodity boom was about to explode higher, as the subprime mortgage crisis hit the U.S. economy hard, and that Fed Chairman Ben Bernanke would flood the economy with paper money.
Read full article... Read full article...
Thursday, October 04, 2007
Stagflation-Proof Yourself with Agriculture Commdodity Investments / Commodities / Agricultural Commodities
By: Michael_Pento
In addition to monetary inflation, which I wrote about in part one of this series, another well known-driver for the higher prices in agricultural commodities has been the use of corn for the production of ethanol. That increase in the intrinsic value of corn has translated into higher prices for other agricultural commodities because land replanted for the growing of maize means less available for the production of wheat, soybeans, cotton, etc.Read full article... Read full article...
Wednesday, October 03, 2007
AGRI-FOOD THOUGHTS - Chinese Consumption of Soyabeans Soars / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
Grains prices continue to ride to historical highs on the shifting demand patterns around the world. Led by higher incomes in China and India, a consequence of rapid economic growth, consumption of food will set new records each year for the next two decades. Chart below shows the incremental annual demand for soybeans coming from several nations.Read full article... Read full article...
Tuesday, October 02, 2007
Soybeans October Market Secret / Commodities / Agricultural Commodities
By: George_Kleinman
Today I plan to share with you this market “secret”: Soybeans exhibit a very strong tendency to form a seasonal price bottom during the month of October. This bottoming tendency is the result of harvest selling pressure because many farmers sell their crop right out of the fields to generate cash.
This year, with soybean prices relatively high, this market behavior could be even more pronounced than usual. After the harvest selling pressure subsides, the soybean market usually exhibits a profitable post-harvest rally trading opportunity.
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Wednesday, September 19, 2007
AGRI-FOOD THOUGHTS - China Consumer Boom Means Higher Soft Commodity Prices / Commodities / Agricultural Commodities
By: Ned_W_Schmidt
As incomes rise in China and India, their consumers will dictate prices for oil and food. Their preferences are setting relative prices of nearly all commodities. These preferences have shifted to reflect their higher incomes, and will continue to do so. Chart below portrays per capita consumption of beef and rice by Chinese consumers, per UN FAO. Beef is now a preferred item on the menu at Chinese homes. Magnifying this shift is number of consumers in China and India. Such preference shifts have caused prices of grains and meats around world to rise. Higher beef consumption means raising more beef. Raising more beef means using more grain. More grain is consumed to feed the beef than is freed up from eating less rice. Agri-Food growth cycle that has emerged is really that simple. Read full article... Read full article...
Wednesday, September 12, 2007
Grain Bull Market - The Cartel in Your Cupboard / Commodities / Agricultural Commodities
By: Money_and_Markets
Sean Brodrick writes :Russia has asked Australia (among others) to join a group of grain-exporting nations that would seek to regulate production, much as OPEC regulates the production of crude oil.
An OPEC of grain sounds a bit odd. Visions of sheiks riding camels through Kansas wheat fields immediately come to mind. But Russia knows there is a lot of money to be made from grains. Fortunately, if you make the right moves, you also stand to reap profits as high as an elephant's eye.
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Saturday, September 08, 2007
The Big Bull Market in Grains / Commodities / Agricultural Commodities
By: Money_and_Markets
Sean Brodrick writes: Vampire bats and piranha scare the bejeezus out of me. So I probably won't be visiting an Argentinean cattle ranch anytime soon. See, the Argentineans are emptying out their world-famous cattle lands, driving their herds north into scrublands and swamps infested with vampire bats and piranha. Read full article... Read full article...
Wednesday, July 25, 2007
Investing in Groceries / Commodities / Agricultural Commodities
By: Money_and_Markets
Sean Brodrick writes: You've probably heard plenty of talk about how rising demand for ethanol is driving up the price of corn. But that's just the tip of the iceberg lettuce.
Food prices of all types are rising at a fast clip around the world. In fact, they're up an average of 23% in the past 18 months, according to data from the International Monetary Fund.
Read full article... Read full article...
Tuesday, July 24, 2007
Agricultural Commodities The Next Great Inflation Hedge / Commodities / Agricultural Commodities
By: Michael_Pento
The best way to protect your wealth from the ravages of inflation is to invest in a tangible asset whose supply cannot be increased at the same rate as the currency it is being measured in. Even better is to invest in an asset with growing demand and limited supply whose intrinsic value is increasing.Read full article... Read full article...