Argie Peso/Grain Ramifications/Errol

[malleefarmer]

Lost 20% in two days.

Ramifications for grain market?

[malleefarmer]

60% interest rates joke how anyone possibly do bussiness there or actually do business with them

[ajl]

The whole world needs to learn to stop borrowing the $USD. If you own currency is worthless and you can't borrow in it, stop the printing press.

[Klause]

mallee, 60% isn't that bad... try 200%.


Current farm interest rate about 5-15% (talk about a subsidy).


Grain is traded in USD and almost all ag business is conducted in USD. This affects consumers in cities, not farmers... or the grain trade, or ports.

[errolanderson]

60% interest rates joke how anyone possibly do bussiness there or actually do business with them

Mallee. . . this is now a sovereign currency crisis. IMF is attempting to bailout and stabilize these currencies this weekend. This could also blow out the candles on the U.S. stock market run.

Tuesday markets both stocks and commodities could be both unpredictable and volitile. More questions than answers right now.

Global debt bomb appears starting to blow (IMO).

[agstar77]

Why worry about debt ,Trump says he will eliminate it in 8 years. Bankruptcy ?U.S.A. Bankrupt again? Staying on present course debt greater than GDP in 6 years.

[furrowtickler]

Why worry about debt ,Trump says he will eliminate it in 8 years. Bankruptcy ?U.S.A. Bankrupt again? Staying on present course debt greater than GDP in 6 years.

And where is Canada ??? Ohhhh ya the Budget will balance it’s self ..... right 🙄

[errolanderson]

Group . . . Global emerging market crisis appears rapidly deteriorating . . . .

Emerging markets are seen as South America, South Africa, India, Indonesia and Turkey. The rising USD plus fallout in global commodity prices and now stir-in Trump trade tensions have contributed to the recent collapse in these currency markets.

The sudden spike in interest rates is an effort to stop the currency fallout. IMF bailouts may be just throwing more bad money after nothing (IMO). To me, deflationary pressures will continue across global raw commodity prices.

The problem is soaring debt and the inability to service it. The currency collapse just magnifies this concern.

Again more questions than answers, but this situation suggests being prudent marketers. Increased price volatility appears possible for both commodities and equities heading into the 4th quarter

[SASKFARMER3]

Welcome to 1981 it was Dry it was expensive land huge debt it was subsidies to farmers (except Canadian) High-interest rates and it was a real shit show.

[furrowtickler]

Group . . . Global emerging market crisis appears rapidly deteriorating . . . .

Emerging markets are seen as South America, South Africa, India, Indonesia and Turkey. The rising USD plus fallout in global commodity prices and now stir-in Trump trade tensions have contributed to the recent collapse in these currency markets.

The sudden spike in interest rates is an effort to stop the currency fallout. IMF bailouts may be just throwing more bad money after nothing (IMO). To me, deflationary pressures will continue across global raw commodity prices.

The problem is soaring debt and the inability to service it. The currency collapse just magnifies this concern.

Again more questions than answers, but this situation suggests being prudent marketers. Increased price volatility appears possible for both commodities and equities heading into the 4th quarter

Thx for info Errol
Tough to be prudent marketers when the crop is out in the field getting soaked every second day , some areas have late crop that most likely will be damaged by frost , quality on cereals deteriorating daily.
Point is wtf can we do when we have no idea when we will get it or what we will get ?
You are correct with what you say about potential in the markets , but right now 70% of western Canada can’t move a wheel and there is *** all we can do but watch from the sidelines until the weather turns and it will . But in the meantime, right now what do we foreword sell and how ? Canola I guess , if it’s been swathed for 5 or more days should be fine. The rest of it we have no idea on quality at all.

[AlbertaFarmer5]

Group . . . Global emerging market crisis appears rapidly deteriorating . . . .

Emerging markets are seen as South America, South Africa, India, Indonesia and Turkey. The rising USD plus fallout in global commodity prices and now stir-in Trump trade tensions have contributed to the recent collapse in these currency markets.

The sudden spike in interest rates is an effort to stop the currency fallout. IMF bailouts may be just throwing more bad money after nothing (IMO). To me, deflationary pressures will continue across global raw commodity prices.

The problem is soaring debt and the inability to service it. The currency collapse just magnifies this concern.

Again more questions than answers, but this situation suggests being prudent marketers. Increased price volatility appears possible for both commodities and equities heading into the 4th quarter

Taking a somewhat longer term perspective, those are the very reasons why commodities should do well going forward. Most of the countries/regions you listed are large commodity producers or exporters, and are our direct competitors, for example, Indonesia is the biggest palm oil exporter by far.

Economic and political instability, high interest rates, rampant inflation, low commodity prices, increasing taxes on their only income sources, and in the case of South Africa, land expropriation and murder, are not factors that are conducive to increasing production. Zimbabwe is a prime example of how these things turn out.

[furrowtickler]

Taking a somewhat longer term perspective, those are the very reasons why commodities should do well going forward. Most of the countries/regions you listed are large commodity producers or exporters, and are our direct competitors, for example, Indonesia is the biggest palm oil exporter by far.

Economic and political instability, high interest rates, rampant inflation, low commodity prices, increasing taxes on their only income sources, and in the case of South Africa, land expropriation and murder, are not factors that are conducive to increasing production. Zimbabwe is a prime example of how these things turn out.

Very true for sure

[AlbertaFarmer5]

Venezuela is another prime example of how these scenario's play out.