DailyWealth: Why Grain Prices Will Triple

DailyWealth: Why Grain Prices Will Triple

In today’s DailyWealth, Tom Dyson makes the case for much higher grain prices in the future. According to Tom, here are the inflation adjusted highs for the grains (hit in 1947):

  • Soybeans: $37.86
  • Corn: $26.03
  • Wheat: $29.25

Considering that during a bull market, nearly everything hits a new all-time high – these could have some room to run, especially when accounting for inflation.

What I find particularly attractive given this argument though are the softs – particularly sugar, cotton, and coffee. Despite their awesome rally YTD, all three are still quite a ways off of their nominal all-time highs, never mind the inflation adjusted numbers.

I’m personally rooting for this correction in the softs to last a little while, so that we have time to rebuild our positions and enter these markets at favorable prices.