Corn prices peaked in April and began coming down in May, June, and July... but all that may be over. According to Bloomberg corn prices may be set to drive up inflation. Recently they've been running a series of articles on Corn Prices: Their article US Crop Tour Stokes Fears of Looming Corn Shortage says, "Parched soils. Grasshopper infestations. Scorching heat. Hail damage. This year’s US corn crop has been put through the wringer... Things are so bad that scouts currently on a four-day tour through the Midwest are finding plants that are stunted and browning. Scores of fields have visible damage from pests. Cobs of grain are unusually small, and sometimes, stalks aren’t producing the … [Read more...]
Have Commodity Prices Peaked? Does That mean Recession?
A recent article from Elliottwave International suggests the possibility that Aluminum, Copper and Zinc may have peaked on March 7-8th. They included the following chart... And the following commentary: The Goldman Sachs Spot Commodity Index hit a high on March 8, and so did the Bloomberg Commodity Index. Crude oil futures made an intraday high on March 7 and a closing high on March 8. Platinum reached a closing high on March 7. Commodity prices are leading indicators of overall inflation since they are components of every consumer good. Another major component affecting all other prices is gasoline and oil. According to AAA, regarding the price of gasoline... National Average … [Read more...]
