Big Declines in Coffee, Cocoa, Cotton & Sugar.
May 11, 2012 Leave a comment
Since their 2011 highs, Coffee & Sugar prices have fallen 43%, Cocoa has declined 37%, Orange Juice Concentrate is 48% lower and Cotton prices have retreated 62%.
Obviously it’s now cheaper to buy these commodities than it was last year and some are even hitting the same levels seen 10 years ago.
I’m always interested investigating how far the pendulum has swung when I see such price moves when compared to the changes in the supply and demand story. Although seasonal changes have great effect, I still remain bullish on the direction of prices of commodity prices, especially the soft and grain commodities. An old blog post that I wrote about Cotton may be interesting for readers to re-visit.
The FINVIZ website is also a wonderful resource where you can quickly check the prices and retrieve charts on various commodities.