2024-01-23 13:30:42 ET
Summary
- Soft commodities gained 24.04% in 2023, while grains fell 13.04%.
- The January WASDE report was bullish for supplies but bearish for agricultural commodity prices.
- The VanEck Agribusiness ETF could offer value as it declined in 2023 and early 2024, with a 3.15% dividend yield.
The grain and soft sectors of the commodities asset class moved in opposite directions in 2023. Softs led on the upside with a 24.04% gain, while grains fell 13.04% for the year ending in December 2023. Agricultural commodities feed and, increasingly, power the world. Corn, soybeans, and sugar are critical biofuel ingredients. In the U.S., ethanol and biodiesel production requires corn and soybeans. In Brazil, refiners process sugarcane into ethanol....
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For further details see:
MOO: Buying Agribusiness On The Dip