Wolfteam Ltd. holds the corporate opinion that the world is witnessing a new rising market for the prices of wheat, corn, soy beans and other grains and the stocks' prices of the related publicly listed companies, driven by Russia deciding to withdraw from the accord to let ships pass through Black Sea to export wheat, corn from Ukraine.
Ukraine, together with Russia produce 30 % of the world's supply of wheat and large percentage of all the grains consumption globally.
Commodities, for that matter, such as oil, natural gas, coffee, sugar, base metals like iron, copper, nickel, precious metals as gold, silver, platinum and basically almost all the commodities spectrum is in a new super cycle of rising prices.
This time the reason is not necessarily rising demand from China as was the case in the last rising market super cycle for commodities from 2002 to 2008, but possible supply disruptions due to the Russia Ukraine conflict.
Russia is a top 3 exporter of wheat, corn, oil, natural gas, platinum, gold, silver, aluminum, iron etc. and another escalation of the current conflict involving Russia will cause the prices of these commodities to rise by a high margin.
Wolfteam Ltd.'s view is that we are currently in a new commodities bull market super cycle.
No comments:
Post a Comment