Commodity Supply and Demand

Seasonal vs Continual Flow Commodities

Generally speaking, there are two different types of commodities in the world – those that are seasonally produced and those that are continually produced.  The differences between the two have major impacts on the way that you analyze the supply and demand to determine fair value. Likewise, the metrics used to to discuss the fair […]

Commodities 101: Learn the Basics of Commodity Markets

After more than a decade of experience in and around commodity markets, I have learned (or at least think I’ve learned) some tips and tricks that make analyzing market fundamentals easier and would like to share them with you. Whether you are new to commodity markets, or are a seasoned veteran, you are sure to […]

Primer to Grain and Oilseed Markets

Since commodities are all derived from some natural resource, it is important to understand those natural resources, their production practices, and the underlying market conditions. Without a firm understanding of these underlying principles it is very hard to have a firm understanding of what is driving the markets. In the grain and oilseed market primer, […]

Introduction to Commodities

By definition, a commodity is a good that can be uniformly supplied across space, time, and form without qualitative differences. Said differently, a bushel of corn is a bushel of corn – regardless of whether you are in Virginia or Nebraska. Commodities are usually either fully or partly fungible. With fungible properties, buyers and sellers […]

Hedging With Producer Collars

As a producer of commodities, you understand how important it is to manage the risk of price fluctuations in your finished product. Everyday I talk to people who are looking for cost effective ways to help manage this risk and ensure their profitability.   Unfortunately, there are still many people out there that either don’t understand, […]

Grain Marketing – Are you Hedging or Speculating?

Most operators approach grain marketing with good intentions, unfortunately, sometimes they can be lead astray and down the path of accidental market speculation. Don’t get me wrong, speculation can be great, if it is intentional. When a producer or consumer unintentionally ends up speculating when their intent was to hedge, the results can be disastrous. […]