I’m bullish on agriculture.

I first turned bullish in 2005 when I realized the ethanol boom would consume a third of the U.S. annual corn crop. As I investigated this story, I realized global population growth, rising prosperity in Asia and around the world, shortages of arable land and clean water… and a bull market in commodities… would send agriculture prices through the roof.

I spent 15 minutes on Sunday morning petting veal.

Over the last 12 months, the biggest bull market in commodities has NOT been in gold, platinum or tin. Instead, the grains – or more specifically, wheat – have dominated the raw materials complex since late 2006.

Indeed, spring wheat has been the commodity king over the last year, during the lowest stockpiles of wheat in 60 years.

On February 25th, the price of top-quality spring wheat on the Minneapolis Grain Exchange surged more than 25% in one day.

Euroland struggles with inflation and economic strangulation by currency appreciation…rice shortages …Nebraskan ”common sense” says it’s recession…commodities through the roof….the dollar through the floor…and Murray beats Federer. Oh, wanna cut price Porsche? Buy a Volkswagen.

EU interest rates are likely to stick at 4% reports the FT as inflation remains at a 14-year high 3.2%. Euroland exporters must be screaming. Less commercially minded bureaucrats are worried too.

Most of the fourth quarter reporting is in. The winners are companies in energy, agriculture, utilities, and consumer staples.

I spent two days in Lucas do Rio Verde…

This is taken from TFN’s Smart Trading Action Alert video with Mike Burnick, editor of Global Market Investor