We all would have heard of the mad rush to plant corn for the ethanol craze , but I actually believe this will be a negative for the corn price , they've been ripping up the soybean paddocks to plant corn . For me this sees Soya oil and bean prices in for a good rise through 08 , as a matter of fact the range of oils all look good ( not talking black gold either ) . Palm oil which virtually tracks crude prices will be set for runs too , I have not gotten anywhere near projecting a price yet . Still absorbing future prices for my crude projections , I have a $72 , 78 , 83 & 87 on the lower brackets in crude , but my top is above 100 around $114-$117 with a $2.30 swing eitherside of those numbers so far . Still well below the $116-128 it should be when taking inflation into account . If that is the case for crude , then palm oil would have to looking around $930 a tonne or higher .
Wheat , well you must all know I'm on that at 892 , I see more upside on that , but the other soft oils too all look good in my view , the old buy the dips mantra should be rolled out , but I'm not expecting large dips yet to be honest . I do see crudes rise slowing up for a correction , but think we'll have to be rid of the heating oil rush in winter for the NH , which really only leaves us spring , before the next heavy usage stage hits again in summer drivetime in the US .