Big inventory adjustment, big price spike
It is odd to have such a large inventory adjustment this late in the season. Usually, most of the news about the size of crop is out by September.
What happened?
For economics geeks, this does provide a fairly powerful natural experiment for measuring the fundamental relationship between inventories and prices, since this large short-run move in prices likely has very little to do with a shift in demand.
What happened?
For economics geeks, this does provide a fairly powerful natural experiment for measuring the fundamental relationship between inventories and prices, since this large short-run move in prices likely has very little to do with a shift in demand.
Could I have profited? I doubt it.
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