Commodity Markets Send Warnings

[Klause]

We've been growing chickpeas on our farm for 22 years now and this crop has generated a lot of wealth on the good years as well as a couple of wrecks on the wet years. To go grow them in moist, high humidity climates is almost a guaranteed eventual disaster. As a suitable replacement for wheat, highly unlikely. Me thinks Argentina has much to learn yet grasshopper

Winter are cool and dry. Chickpeas lentils peas and wheat are winter crops like canola and barley there. Beans and corn are summer.

[dave4441]

dave, What did you see for yellows from Eurasia?


I've been hearing $4.75-$5.25/bu reflected back to a farmer in central SK... Please tell me that's B/S???


Argentina full of stories about how chickpeas are profitable, good for the soil, and a valid replacement for wheat... They are exporting pretty decent tonnage again.


Reports from OK and TX of wheat @ 16-18% protein, lower yields some is lower test weight (56lbs).

I haven.t heard but likely $1/bushel cheaper then here, 11 cent reds is $3/bushel lower so your price sounds plausible.

[westernvicki]

Agreed with Dave, competition from the FSU is real, it will be tempered by the same factors we have: weather, but production is increasing, (that is a huge land base) how much more capacity to full potential, we have no idea, but it is fair to expect as farming technology & capital is employed the geographic advantages of being loser to the market than us (and with increasing logistics capacity ever more so), & lower costs production total capacity will incline still (weather permitting). However, the biggest single change in the trade war with the USA is China's' response, the directed interest in other suppliers of food. Not entirely new, they were developing Africa, but likely altered to the new reality of the US demands to strategically look for alternative origins as a source, enter Russia. All of this is a changing paradigm for North American agricultural industry. Take heed.

Will Canada, be helped by the US trade wars, likely two tariffs just imposed on US pulses suggest this is so, but overall Canadians trade the most with the USA, and this market is key to Canada: key to the overall economy.

Stay tuned the western Canadian agriculture is safe with the National vision of the future in the PROTEIN SUPERCLUSTER, (& of course DAIRY).

Oh my.

[bucket]

Westernvicki

I sense sarcasm in your last sentence?

[farmaholic]

I hate to be negative, contrary to popular belief, but the most Primary Producers can hope for from the Protien Super Cluster funding and initiatives are crumbs that fall to the floor that Industry will brush off the table after they're done gorging!

[bucket]

It's just funding for AGT. ...

[errolanderson]

Gold has had a very rough week. For what it’s worth, the 50-day moving average broke below the 200-day average . . . called the ‘death cross’ by traders.

Gold’s fallout is part ‘n parcel to the broad based decline in global commodity prices (IMO). This is also a reflection of a sharp slowdown in global growth. To me, more fallout ahead especially with gold breaching support of $1,275 per oz this week.

[Stampsguy]

Gold has had a very rough week. For what it’s worth, the 50-day moving average broke below the 200-day average . . . called the ‘death cross’ by traders.

Gold’s fallout is part ‘n parcel to the broad based decline in global commodity prices (IMO). This is also a reflection of a sharp slowdown in global growth. To me, more fallout ahead especially with gold breaching support of $1,275 per oz this week.

The commercials went long big time this week while the large specs went even more short. The commercials never lose since they really are bullion banks doing the manipulation..And silver had good close today which usually happens when a trend change is about to take place.

[errolanderson]

The commercials went long big time this week while the large specs went even more short. The commercials never lose since they really are bullion banks doing the manipulation..And silver had good close today which usually happens when a trend change is about to take place.

To me, gold will continue to struggle with the bull story for some time yet. Deflation is the 'reset' button for an economy that has surplus productivity like the U.S. Gold feeds on inflation, not deflation.

Central bankers are barking up the wrong tree in their so-called inflation battle.

American unemployment is certainly not 3.8 percent as advertised. Those out of the workforce continues to swell stateside.

[errolanderson]

Commodity fallout definitely the 'canary-in-the-coal-mine' . . . Global deflation warning

https://www.cnbc.com/video/2018/06/22/an-ignored-corner-of-the-commodities-market-is-signaling-a-slowdown.html?__source=sharebar|linkedin&par=share bar