Energy: Oil, Agriculture, Food, Commodities & Cost of Living (3)

  • Business Insider Albert Edwards On The Surging Costs Of Food And Energy Eating Up American Wages
  • Drovers’ Cattle NetworkCorn prices heading to record highs amid “incredibly tight” supplies: High prices are expected to encourage farmers to plant more corn this spring… But even with an improvement is yields, supplies will likely remain tight, Rabobank said. A repeat of last year’s disappointing yields “would result in widespread demand destruction given the incredibly tight supply situation,” Rabobank said. Overall, Rabobank looks for agricultural commodities to retain a bullish bias in coming months, although bouts of speculator selling in response to global events may cause short-term price dips. However, the bullish fundamentals will ultimately prevail, they said. “With buffer stocks of many agricultural products critically diminished, volatility has risen and is expected to stay elevated,” Rabobank wrote. “Due to growing demand and very low inventories, the price signal to encouraging farmers to produce and increase harvests will have to remain elevated into next season to ensure adequate supply.”
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