Death comes to us all. Life's but a walking shadow | I agree with you, Sat but I don't think they are really any smarter, they just have a different business and more resources to employ, good lobbists for one. By the wa,y their business is to extract wealth from the market, nothing more.
However at the risk of highjacking this thread, sorry Sat, I wonder just how much corn has actually been sold for $4. I'm sure there is some, I haven't yet but very well may be forced to in the future but not yet.
That said however I firmly believe what Little Joe said below:" Price is determined by what the market will pay. Not the cost of production.
As long as the people will pay $1.00 for 2 ounces of chips, they will charge it.
Like trucks. As long as Ford, GM, Dodge can sell trucks for $50k and more, they
will charge that price."
But there is another side of this idea. Every transaction is a negoitation. There seems to be the implicit assumption underlying many of these posts that we are completely powerless in the face of the market. It may feel like that but I'm not sure it is totally true. We can push back and it is our duty to do just that.
As for Jon's decision to prepay. I'm not going to buy a bag of seed until I see what the March price looks like. If many delay buying seed & supplies that will send a power message to the market and I can guarentee you all that information is being carefully monitored by the market. |
EPA/Ethanol
