The best commodity market quotes

Sometimes just a few sentences can capture the essence of an argument better than anything. Here are my top 10 quotes from the world of commodities and commodity trading. For the other 40 you’ll have to read my book “Commodities: 50 Things You Really Need To Know

 1) “Stock prices can go to zero. Commodities cannot. Unlike shares in a company commodities are real things that are always likely to be worth something to somebody.”

Jim Rogers

2) “As a trader you often walk on the blade. Be careful and don’t step off.”

read more

A book about commodities…what more could you want?

This week marks the end of a two year project to write and publish my first book. The book “Commodities: 50 Things You Really Need To Know” is an exploration of how commodities and commodity markets influence every aspect of our lives. The idea was born out of a sense that commodity markets were, and still are widely misunderstood.

The bull market in commodity prices in the early part of the 21st century led many to believe that they were a one way bet, that prices would always go up as resources ran out and other countries sought to protect their citizens by withholding commodity supplies. As with most things in life it helps to take a step back, take a longer term perspective, and in particular to understand the role of incentives.

read more

What’s behind the soaring price of orange juice?

Orange juice is bucking the dismal performance of most other markets with prices up more than 40% since the start of October.

andriuXphoto / Foter.com / CC BY-SA

  Orange juice futures prices began to rocket in early October when the US Dept. of Agriculture forecast output of oranges from Florida of just 80 million boxes, a 17% drop in production from last year and the smallest crop for the state since 1963. The cause is a disease called “citrus greening” has been destroying Florida’s orange groves, blocking nutrients from reaching ripening fruit, which eventually drops before it is fully mature. Although the disease has been around for many years the sharp drop in output has been seen by many that orange growers are abandoning the industry as demand for orange juice declines.

read more