If you’re a farmer, it’s wise to realize that this sort of thing is sometimes a sign of a market top. When it’s the flavour of the day for discussion by urban media, the bull markets are usually either over or close to being over.
If you’re an investor, be careful about buying in late. By the time the news stories are telling you it’s a no-brainer to invest in certain ag stocks or farm-related stuff, the best deals are long gone. You’re no longer looking at true value buying opportunities.
If you’re a consumer, don’t panic. Even in the fallout from major global turmoil and weather events, North Americans pay a lesser percentage of disposable income on food than anyone else. Remember too, that the actual grain in a loaf of bread or cocoa in a chocolate bar, is usually less than the transportation to get that to the store shelf, less than the marketing/advertising, and often too it’s even less than the package it’s in.
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