This morning I have been talking with a couple of farmers desperately trying to get fields seeded before the five or six days of rain the weather forecasters are threatening Manitoba with.
They felt lucky. They were able to seed something. Thousands of other farmers can’t get onto their fields at all.
So, with a rotten few days to come, I thought I’d give you some bullish ag commodity analysis to take into the weekend.
This is from today’s Commodities Weekly report from Barclays Capital:
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“The recent sell-off in commodities did not mark a fundamental turning point, and commodity-specific data since the drop suggest a very positive outlook for prices in a number of different markets. We believe that the economic cycle is approaching the point at which commodities have the potential to outperform other assets and provide the diversification that investors are seeking.”
“AGRICULTURE – While we expect a differentiated price performance across the agricultural complex over the coming months, we would caution against taking a bearish stance on grains and corn and wheat in particular, where supply risks bode well for further price gains.”
