What’s so Important About Rice?

By Charles Delvalle

Related Articles

When I was growing up, it never mattered how bad my day went or which concert I might have missed, because there would always be rice, beans, and meat on the table every night.

As a member of a Puerto Rican household, rice was a staple food (as were beans and meat). And according to Bloomberg, rice is a staple for 50% of the world. But the world’s love for rice is introducing yet another bullish scenario for the agriculture bull-run.

Thanks to soaring demand from Asia, the price of rice has rocketed five times higher over the past five years. And things are now set to get worse.

You see, nations are starting to cease exporting rice as stock piles shrink. And to them, they have to do this to try and stop prices from going any higher and causing domestic upheaval. The thing is, it hasn’t been working.

In just the past year, the price of rice has doubled. And as nations continue to hold back exports, other nations will continue to flood the markets with buy orders in an attempt to secure rice at any price.

You can expect to see this for the next few years. And it definitely helps the case for a bull run in agriculture. The perfect way to play such a run would be to buy the DBA Proshares Agriculture ETF (DBA), which lets you make money as the agriculture bull-run charges ahead.

Liked this article from Investor's Daily Edge? You can receive the same great commentary and insights directly to your email box when you claim your free subscription to the Investor's Daily Edge eletter service. Simply fill in your email address below and hit 'subscribe'.

Subscribe

NO-SPAM PLEDGE: We will NEVER rent, sell, or give away your e-mail address to anyone for any reason. You can unsubscribe from Investor's Daily Edge with a few clicks.

Related Articles

Tags: , , , , , , , , , ,

About the Author

Charles DelvalleCharles Delvalle is a self-taught market-timing professional and value analyst who uses a combination of technical indicators and fundamental research to achieve consistent gains on stocks, commodities and options. Charles is also a staunch contrarian and takes pride in finding undervalued sectors and discovering great companies on the cheap. He questions government reports and the status quo. In addition to swing trading options, Charles is also Co-Editor of the monthly advisory service - INCOME.

See All Posts by This Author



Investor's Daily Edge is a free investment e-letter delivered every day before the market opens. In each issue you'll receive clear recommendations and practical strategies for protecting your portfolio and multiplying your money, whether the market is rising or falling.

See All Posts from This Publication

Post a Response



Technorati Tags: , , , , , , , , , ,

Receive These Valuable Investing Strategy Resources to Your Inbox Courtesy of Contrarian Profits

    Subscribe
We respect your privacy.
Choose any of the FREE subscription services below that you'd like to receive, enter your email address, and click 'subscribe'.
Contrarian Profits

The Daily Reckoning



Select Edition:
Penny Sleuth

Money Morning

Investor's Daily Edge

Money Morning UK

Investment U

Whiskey and Gunpowder

Taipan Daily

Offshore A-Letter

Today's Financial News

International Living

The Smart Profits Report

Spiritual Wealth