Loading…
A Louisiana State University agricultural economist explains that US rice futures remain elevated versus pre-COVID levels. He attributes this mainly to limited old-crop supplies, including a manageable carry-in, sales to Iraq, steady Latin American exports, and early sales in the 2019/20 marketing year.
He also notes that global rice prices are becoming more competitive.
Tight old-crop supplies keep US rice prices supported, while easing global prices may cap further gains. Buyers should expect firm but less volatile rice pricing.
lafarmbureaunews.comdon molinoJun 9, 2020
usarice.comJun 9, 2020Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
Explains that the elevated futures were driven by tight old-crop supplies and that global rice prices were becoming more competitive, which signals a fragile price premium vulnerable to a sharp correction.
Explains that elevated futures were driven by limited old-crop supplies and that global prices are becoming more competitive, implying vulnerability to a sharp correction as the squeeze unwinds.
It explains that futures were elevated mainly on tight old-crop supplies while global prices were becoming more competitive, which left prices vulnerable to a correction.
