By SIMON CONSTABLE
If you truly believe in the investing maxim “buy low, sell high,” now is the time to chew on some grain. Unfavorable weather conditions and increased global grain consumption are expected to lift prices for wheat and corn out of a slump that has lasted for years.
Wheat prices have been cut in half in the past four years, to a recent $4.63 a bushel from more than $9 in mid-2012. Corn prices have fared similarly, falling to $3.70 a bushel recently from more than $8 in the summer of 2012.
Growing conditions were so favorable in the past few years for both wheat and corn that production outstripped demand, sending stockpiles higher. But the likelihood of bad weather in the future could dramatically change this dynamic. Read more here.
No comments:
Post a Comment