The Rural Voice, 1983-12, Page 7Elliott Wave theory, Robert Prechter,
says gold is in a "supercycle" bear
market. There is also pressure on
heating oil at the moment. Interest
rate markets are under some tem-
porary upward pressure, which
hopefully will ease early in 1984.
Stock markets are taking a breather
and could suffer more weakness until
further signs of economic recovery
bring renewed life to the market next
year.
FERTILIZER DEMAND IS UP. In
the U.S. about 4 million tons of pro-
ductive capacity was shut down last
year, according to Bill Kilmer of the
Ontario Fertilizer Institute. This
capacity isn't all back on stream yet.
About 4004 of phosphate producing
capacity was also cut. Kilmer expects
increased demand in the face of the
lower supply. He also notes that
potash is suffering very low inventory
supply in the face of the largest off-
shore shipments in history. Mean-
while, demand by farmers for fer-
tilizer this fall has been good.
SOVIET UNION PRODUCTION IS
STILL SET AT 200 MILLION;
METRIC TONS FOR THIS YEAR,'
according to Washington analysts.;
That will be the largest in 5 years.:
Soviet grain imports should be 29 -
million metric tons, the lowest level:
since 1978-79 when a record large)
harvest reduced their import needs.I
Much of Russia's upcoming needs;
have already been bought. Grain;
prices were higher when some of that -
buying was done, but the gold and oil
they used to pay for it was also
higher.
CANOLA SALES TO JAPAN ARE
STRONG. Rapeseed and canola have
been driven higher by better world
oilseed markets lately. And the $400
million canola market to Japan looks
secure, according to H.T. Arm-
strong, director of oilseed develop-
ment for Canada's Dept. of External
Affairs. Farmers should be aware
though that high flying oilseeds could
react negatively if South America's
production is good, but could on the
other hand gain on problems there.
CORN:WHEAT SPREADS ARE
UNUSUAL. The price of wheat is
frequently a dollar or more above
corn, but right now the two are neck
and neck. Chicago Dec. wheat
futures recently traded lower than
Dec. corn futures, for the first time in
November since 1930. This is because
wheat supplies are burdensome while
corn supplies were cut by drought.
The relationship may not last. U.S.
farmers could feed more wheat this
winter than the last 4 winters put
together. And foreign buyers are
favouring cheap wheat over corn.
FINALLY, IF YOU WERE A SPEC-
TACULAR IN THE LAST BULL
MARKET, and you lost money
because you got in too late or out too
soon or overextended your capital,
remember the old market moral:
"Bulls make money and bears make
money, but pigs get slaughtered."❑
Irk*
Hampshires and Durocs
Registered, R 0 P , Breeding Stock
Purebred and Crossbred
LODON ACRES
Don Johnson & Son
R.R. 2, Mildmay
519-367-2111
A Christmas Wish
May your Yuletide season ring out
with cheer. We hope you all enjoy
it to the fullest.
Hill AND Hill
FARMS
LIMITED
VARNA ONT.
519.482.3218
THE RURAL VOICE, DECEMBER 1983 PG. 5