Wednesday, December 5, 2012

It's the weather, stupid

The northern half of the continent continues wild swings between winter and summer, while the southern half continues to deal with slightly above normal, but very good growing conditions.  The combination produces a market which is oversupplied and under demanded.  Seemingly, each produce item goes from scarcity to oversupply in a day or two.  The Mexican market will fill each short overnight with the sophisticated communication technology available.  As always, it all goes back to supply and demand.   Right now it is out of balance, and with the weather patterns continuing to shift, it looks like a bumpy ride for markets between now and Christmas.

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