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Lapel, In | Lets talk about it. What effect is the sub prime issue having on the situation in grain? I said a week or so ago that I expected the smart money to start being put into safe havens and I listed commodities as one of the lesser places where this might occur. Maybe what I said was more profound than I thought at the time.I really expected to see gold go up considerably followed by silver and other precious metals, including coins.
Is the acreage battle for corn/beans a part of this already? Not sure I believe it, but it could enter into the equation. Early yield reports (in total) don't look all that bad, so I don't think supply is a concern beyond wheat.
There are those of us that believe we (the world) are about to enter a period of super high inflation and grains should be that safe haven because grains are a lot easier to sell that the metals. The ready market for grains these days is very obvious.
So how should we play it?Pretty hard to pass up on these prices. $9 + soybeans? Probably spread the risk by both selling some and storing some. Your thoughts please ? | |
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