agriculture
Posted in CBOT, KCBOT, USDA crop report, agriculture, corn futures, energy, forex, gasoline, heating oil, natural gas, soybean futures, wheat futures on February 10th, 2009 by Commodity Trader – Comments Off
You can put lipstick on a pig but it's still a pig. The stimulus may be necessary, but it will eventually cause inflation. No one knows what the full package price will be, however we are now approaching $770 billion in round 2 of the "economic stimulus" package. This massive government spending should lift growth, profits and create jobs, although throwing good money after bad never made sense to me. Something must be done to stimulate the economy and the most recent package looks more like an attempt by the new administration to expand government spending as opposed to get us out of this major funk we are experiencing. I am not claiming to be smart enough to have the solution, nevertheless all current solutions seem to lead to printing more money, issuing more debt, and currency devaluation which all lead to inflation.
Commodities are fast becoming the asset class that investors ought to have in their portfolios. Bernanke, Obama and Geithner will be speaking this week hoping to clarify what steps need to be taken to improve conditions moving forward.
Posted in agriculture on January 22nd, 2009 by Commodity Trader – Comments Off
March corn futures at the Chicago Board of Trade have seen choppy and non-trending price action the past two weeks. However, trend-line analysis suggests the next two trading days (Thursday and Friday) could be extra important for price action in corn in the coming few weeks. The daily bar chart for March corn futures shows that an uptrend line can be drawn from the December and January lows. However, a downtrend line can also be drawn from the highs seen last summer, last autumn and the January high. One of these trend lines will likely be penetrated in the next two or three days.
Posted in agriculture, wheat futures on January 8th, 2009 by Commodity Trader – Comments Off
March wheat futures at the Chicago Board of Trade on Wednesday saw prices touch a fresh three-month high of $6.46 1/4 a bushel. However, prices then backed off by the close Wednesday to close solidly lower, near the session low and produce a bearish "outside day" down on the daily bar chart. The market on Thursday morning was poised to post follow-through selling pressure. The wheat bulls have faded late this week and the bulls do not want to see a bearish weekly low close on Friday, which would suggest a near-term market top is in place and that prices could drop back down to challenge major psychological resistance at $5.00.
Posted in agriculture, coffee, funds on January 8th, 2009 by Commodity Trader – Comments Off
Soft markets gave back some of yesterday's gains as most all commodities followed the lead down in crude and equities. There remains some optimism stemming from commodity values being viewed as undervalued assets in a new investment environment. Whether funds receive additional monies and decide to place it at work in commodities is the biggest question for 2009. It seems likely that we may expect this question to receive an answer soon.
Posted in agriculture on December 11th, 2008 by Commodity Trader – Comments Off
Soybean futures at the Chicago Board of Trade this week have seen a short-covering bounce from last Friday's contract low of $7.76 1/4 a bushel. However, prices remain trapped below a five-month-old downtrend on the daily bar chart, from the early-July contract high of $16.48 a bushel. Bears to retain the overall near-term technical advantage in the soybean futures market.