Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle SeasonalStock Market Awaiting the Bonds Panic to trigger QE4Ever - 30th April 25 Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Stock Market Awaiting the Bonds Panic to trigger QE4Ever - 30th April 25
US Bond Market Panic Continues Towards May Expected Japanese Rate Hike Volatility Spike - 24th April 25
Stock Market Tarrified as President Dump Risks Turning Recession into Stagflationary Depression - 21st April 25
President Dump Delivers BEAR MARKET - Stock Market Battles Between Order and Chaos - 7th April 25
Stocks Bull Market End Game Bear Start Strategy - 20th Mar 25
Gold and System Collapse: Charting the Bank Run of the Mighty US Dollar - 20th Mar 25
Tesla's Troubles — Is it Musk or is it More? - 20th Mar 25
The Stock Market Bear / Crash indicator Window - 9th Mar 25
Big US Tech Stocks Fundamentals - 9th Mar 25
No Winners When The Inflation Balloon Pops - 9th Mar 25

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Agricultural Foods and Commodities 2008 Investment Opportunities

Commodities / Agricultural Commodities Dec 25, 2007 - 12:10 AM GMT

By: Ned_W_Schmidt

Commodities Best Financial Markets Analysis ArticleWith the demise of 2007, investors are looking to a new year and new opportunities. Some investors continue to hope collapse of housing and financial sectors will suddenly be reversed. Market strategists have called how many bottoms in housing sector? Which U.S. financial giant will be next to sell out to a foreign investor? Bubbles, or market sectors, do not reinflate, or reemerge. As shrewd investors move on to next stock market leadership, Agri-Food sector will be an obvious play.


Growth fundamentals for Agri-Foods are apparent from investment returns being generated. Just plain U.S. dirt, like that which grows soybeans, has produced a ten year return of almost 9% versus a paltry 5% for U.S. equities. In Argentina, farmland values have risen by 50%. So, how is your C, FNM, and CFC doing?

This week's chart portrays the price performance of Agri-Food base commodities versus U.S. equities. Fundamental strength of the Agri-Food industry is demonstrated by these results. Participants and companies involved in Agri-Foods, around the globe, are benefiting from new reality of growing demand and inelastic supply. While grain prices may be less robust in 2008, new paradigm in Agri-Foods can not be ignored.It is a structural investment opportunity. So, turn the sound off when the cable media starts talking about the drivel known as today's economic data release or whether some withering financial stock will recover.

Spend your time researching the bull cycle in Agri-Foods, the investment theme for the next decade.

By Ned W Schmidt CFA, CEBS

Copyright © 2007 Ned W. Schmidt - All Rights Reserved

AGRI-FOOD THOUGHTS are from Ned W. Schmidt,CFA,CEBS, publisher of Agri-Food Value View , a monthly exploration of the Agri-Food grand cycle being created by China, India, and Eco-energy. To review a recent issue write to agrifoodvalueview@earthlink.net

We have also released U.S. Agricultural Land As A Portfolio Consideration – 2007 . This report is a critical analysis of the returns on U.S. agricultural land versus U.S. equities. It concludes that the investors would be wise to replace equities with an investment in U.S. agricultural land. This analysis is largely statistical in nature, and designed for the sophisticated investor. Order it at http://home.att.net/~nwschmidt/Order-AgLand2007

Ned W Schmidt Archive

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in