Over the past few months, leading grain prices have climbed up the commodity wall like a "mile-a-minute" kudzu vine. From late June to early August, the big three grain markets (wheat, corn, and soybeans) soared 40%-plus in a coordinated rally to multi-year highs before leveling off.
The question on the minds of market participants is simple: Is the grains' uptrend set to end?
Well, according to the mainstream experts, the answer is a definite NO -- and an equally definite YES. See, according to recent headlines, grain prices are as likely headed for strong gains as they are for a world of pain. On this, following news items capture the very conflicting grain complex picture:
- "Wheat futures decline, fall most in two weeks after Egypt looks elsewhere for supplies... We have a bearish tone." (Wall Street Journal)
- "Wheat Soars Despite Reassurance On German Crop." (AP)
- "Corn Above $5-per bushel mark; prices expected to pull back." (Cattle Network)
- "Corn (Soybeans) Still King... the bull market is intact for now." (Farm Forum)
- "Grain Markets Are Hot: But Is It Too Late? One money manager believes the dance will soon be coming to an end." (Minyanville)
I rest my case.
