| Deere6 - 6/6/2017 11:49 I agree with you. I think in order for corn to have a big sustained rally, I'm talking 5+, oil and other thigs with have to come along; or possibly lead the way. In he short term. Though funds and a big weather scare in my opinion could push us to that 5$ mark, but demand destruction would happen pretty quick. Of course if there does turn out to be major production issues, not just a scare, demand rationing could become necesary. In reality, none of that "other things" have to come along. It has been a popular thought that grains cannot rally with oil below 50. That is total nonsense. Oil did not trade above 50 til 2005 or so, and was there major pendulum moves in the grains in the decades previously??? Absolutely. So while they will likely come along in some fashion, there is zero correlation to "50". That is an arbitrary number and meaningless...IMHO Take care
Edited by jpartner 6/6/2017 17:28
|
Which end user could afford to pay more?
