Supply Issues for Corn and Soybeans?

Published on
July 2nd, 2019
Duration
14 minutes

Supply Issues for Corn and Soybeans?

Trade Ideas ·
Featuring Peter Boockvar

Published on: July 2nd, 2019 • Duration: 14 minutes

Peter Boockvar, CIO of Bleakley Advisory Group, evaluates the terrible start to planting season for corn and soybeans and contemplates whether agricultural commodities are finally ready to turn. In this interview with Justine Underhill, Boockvar outlines the knock-on effects of a poor planting season and makes the case for fertilizer stocks. Filmed on June 28, 2019.

Comments

Transcript

  • JM
    John M.
    4 July 2019 @ 04:03
    I am left wondering if buying the ETF CORN might be just as good an option to capture the potential upside since Peter said corn might move from $4.50 currently to as high as $6? During the midwest summer draught of 2012 corn went to $7-$8 per bushel. In any case when should one put this trade on - ie Fall? Wait for firmer estimates of potential corn shortfall? What if farmers get a very mild fall which compensates for poor start? Generally a nice idea.
  • PG
    Philippe G.
    2 July 2019 @ 23:02
    Always appreciate learning about the underlying mechanics of an industry/commodity like in this case. Thanks Peter and RV!!
  • GH
    Gary H.
    2 July 2019 @ 17:25
    Thanks for the idea. Very thoughtfully laid out. Took Peter up on his CCK idea and up 40% currently
  • DR
    David R.
    2 July 2019 @ 14:54
    The weakening US dollar, which on the charts looks set to collapse toward the lower 80's on DXY in the coming months, makes it easy for US grain to compete against other exporters whose currencies are rising this year against the dollar. Like being long the ags, select commodities & foreign stocks, and certainly short the garbage greenback for the rest of this year.
    • DR
      David R.
      3 July 2019 @ 10:19
      Might need to tone done the bearish outlook for DXY in view of Lagaarde being surprsingly named to replace Draghi at ECB instead of Weidmann who had been favored. The EU found someone even more dovish/socialist than Draghi, wow. More dovishness and currency devaluation on both sides of the Atlantic just gives Peter's trade more tailwind!
  • LD
    Logan D.
    2 July 2019 @ 11:59
    How does record production in SA and Ukraine impact the outlook on corn and beans? With US dollar strength, isn’t demand outside the US hard to come by?
  • LE
    Loui E.
    2 July 2019 @ 06:03
    Any update on Williams Co, Peter? Thanks!
    • LE
      Loui E.
      4 July 2019 @ 05:04
      Yes pls and thank you!