Interesting chart and discussion on corn prices and Ethanol

[Poundkey]

From an AG forum.
Viewing a thread - Interesting chart with Corn and Ethanol

Since this discussion started yesterday CZ9 (2009 corn) is up over 7%.

[haha]

Quote:

Originally Posted by Poundkey From an AG forum. Viewing a thread - Interesting chart with Corn and Ethanol Since this discussion started yesterday CZ9 (2009 corn) is up over 7%.

Thank you for an interesting chart.

Ha

[CCdaCE]

Funny that this is a new thread.

Just ran across this Oct. '08 link, today, on "How much futher corn prices will drop". I thought it was good info. on the relationship between corn prices, ethanol and other things (crude oil, gasoline, etc.)

Then the market/oil prices crashed and maybe the commentary/conclusion is no longer valid.

-CC

[TromboneAl]

Is the interesting thing the fact that ethanol prices are rising rapidly despite no increase in corn prices?

[ERD50]

Quote:

Originally Posted by TromboneAl Is the interesting thing the fact that ethanol prices are rising rapidly despite no increase in corn prices?

What was interesting to me (you need to read the thread, not just the chart), was how many things affect ethanol prices. The current corn crop (and therefore weather) seem obvious. Current ethanol reserves factor into it. Then the sugar prices in Brazil are high, so they move production towards sugar, away from ethanol; relative shipping costs to the markets, etc, etc, etc.

It's like a version of "I, Pencil" and the invisible hand.

-ERD50