Wheat futures prices – May futures! – have risen 10%. Therefore:
Prices are rising because of consumer panic buying and threats to markets, including the closing of borders and labour shortages.
I have argued for rationing and price controls. The case will become overwhelming soon.
We’re not going to have another wheat harvest before May. So, what do we want to happen? We want people to stop consuming so much wheat. To stop being damn idiots panic buying. So, how do we do that? The price rises.
The system is working. So Snippa decides we need a new one?
Come on people, this was laid out in Wealth of Nations, 244 years ago. How long does it take for the Sage of Ely to grasp an idea?
How many consumers are panic buying the wheat harvests?
Come on people, this was laid out in Wealth of Nations, 244 years ago. How long does it take for the Sage of Ely to grasp an idea?
245 years?
Be fair, Tom. The only thing Herr Oberst Kartoffel is good at grasping is grant money.
Early days for shithead.
“We’re not going to have another wheat harvest before May”: when do the Southern Hemisphere johnnies take their harvest? I assume it’s in by now.
“How long does it take for the Sage of Ely to grasp an idea?”
If he can’t claim it as his? Eternity….
dearieme –
My entire understanding of economics is gleened from the pages of this very blog so I only just have enough knowledge to acquire of Professor in Practice post at Islington College but I would expect the drought in New Zealand’s wheat growing areas and the bush fire damage in Australia will have caused significantly lower yields in the Southern Hemisphere this year.
Would that also cause a rise in grain future prices? I genuinely don’t know but surely logic would dictate that less product about now would lead to greater demand for the same product in the short term future?
Bush fires don’t burn wheat fields. The wheat fields have no trees.
It will be a poor harvest in GB this year as months of rain have either prevented sowing or reduced will reduce yield.
https://youtu.be/2C6Ern_Iqs8
CD – Good point, well made.
The main point that wheat yields are predicted to be poor from Straya is still valid though , I just got the cause wrong – https://www.producer.com/2019/12/australia-cuts-2019-20-wheat-production-forecast-by-nearly-20-due-to-drought/
So would the drop in SH volumes now impact NH futures prices?
@Jim
Your view on @djc March 26, 2020 at 8:29 pm assertion?
@Tim W
Idiot: Ritchie is. I still worry BoJo will capitulate to Left & msm again and introduce price controls and rationing
Jobsworths enjoying their new powers:
Morrisons yesterday: 2 store cleaners on door duty:
Woman hobbles to entrance from disabled bay
JobW: Go to other door
W: Why, where?
J: CV. See that fence? Go to top of car park, round fence, back down then come in through other door
W: I can’t, I’m disabled
J: That’s rules
Woman bursts into tears, hobbles back to car and leaves
Tesco et al already screwing up: max 3 of each item:
3 x 2.5L wine boxes OK
4 x 750ml wine not permitted
3 x 24 pack 500ml cider OK
4 X 2L cider not permitted
I don’t want 3 tubes of toothpaste, but I might want 8 lasagne ready meals to feed shift-work family