In case you don’t watch such things, the price of corn has been soaring of late. It’s the hottest commodity around.
Here’s a chart:
What’s behind the gigantic move?
Basically, weather and the fact that corn plantings for the year are WAY slower than estimated, and way behind historical pace.
As this chart from Morgan Stanley shows, the amount of available stocks to use has hit a record low.
And here you can see how behind corn planting is this year.
[credit provider=”Morgan Stanley”]
It all adds up to a commodity un-crash.