October 22, 2008 – 2:30 p.m.
Here’s a challenge: grab the data from the downward sliding ag commodity markets and separate out the strands.
Try to separate: 1) the traditional harvest slump in crop prices; 2) the influence of other commodities that are seeing demand slump, such as copper; 3) the overflow of “the October effect,” which is an annual general slumping phenomenon in the equity markets; and 4) the influence of the massive slump in the world’s stock markets.
If you manage to do that, you’ll be able to work out just where ag commodity prices should be on their own merits.
Good luck.
