Corn Back to 2009 Highs!
Posted on August 30th, 2010 by MoverMike
On July 15th I noted that Corn broke through a three month trading range and I predicted “we will be trading back to the NOV., DEC., 2009 highs of $4.40 before too long.” Today we see Corn trading at $4.41.
Lester Brown is an enigma to me.
He started as a farm boy and went on to become a member of the Council of Foreign Relations, Sierra Club and even founded his own Worldwatch Institute and Earth Policy Institute. He is a believer in man caused global warming and has received awards from the United Nations for his work.
Except for being a farm boy, none of the above rate him highly in my book.
But, he recently called for a change in our grain reserves policy and eliminating the ethanol subsidies.
We heavily subsidize our corn production.
The recent drought situation in Russia has raised Brown’s concerns.
I am not sure we would want to stockpile for human consumption, the RoundUp Ready, genetically engineered corn that we grow, but in this time of plenty, I wouldn’t mind a Joseph attitude of seven years reserve rather than 70 days.