I don’t see how you can blame this on the speculators. The futures market is made of thousands of investors each trying to predict supply and demand. If they are wrong either way, they lose money. So they all have an encentive to guess right.
Crop prices and food prices are high because the world is using crops for fuel.
Well lets think ahead. Speculators pull back. corn drops, wheat and everything else drops..Just what we want.
In ag prices they always swing too much so they will be
to low putting farmers in a bind. But they been there before. But the guy who posted his weekly food bill
went up 30 bucks blaming ethanol will see his bill go
back down, probably 40 bucks. As always happens
the price will be hammered down by gov because they want the vote of that grocery buyer.Middleman saving on his
purchases now that corn, etc dropped will do ok.
Grocery buyer is happy, not bitching......BUT cheap
corn means ethanol production will double in couple years
but consumer is happy not blaming ethanol any more, even though refining of it went up.Farmers at cheap price got
do as much as possible to get cost of production paid.
You see the paradox- it ain’t ethanol— it is the speculating on prices of farm output, whether the prices
actually affect grocies or is an excuse to jack up
grocery prices. Corn crashing fine with me, as ethanol
will double which I want blended 10% in all my gas.
consumers happy not blaming ethanol, farmers will
get supports to be able to raise it.Whoopee.Ed