Thursday, October 11, 2012

Agricultural Prices Are Still High




All three members of the grain complex spiked earlier this year due to drought conditions.  Notice that we've seen a gradual fall off in corn (top chart) and wheat (middle chart) over the following months.  However, wheat (bottom chart) is still at high levels.  In addition, the sell-offs in the top chart are very disciplined and look more like traders simply taking profits as opposed to