Hi Yellowcake, firstly I should say I exited my long wheat position shortly after the above post, and you may remember I was also long uranium which I also exited. I remain bullish both on wheat and uranium longer term, but I dont like the idea of being long equities for the next 12 months. If there is a move on uranium, I would prefer to miss it, and re enter when stocks have either corrected or moved through the next bear market.
I moved mostly into cash and been short the American markets at these levels.
I have only begun to enter the gold stock sector, and am preparing for even greater declines for what i consider to be a great buying opportunity IF the gold bull market resumes.
You stated
" If the Australian farm debt bomb is anything to go by I would say we are at the 2nd quarter of a 4 quarter game. There were 10,000 grain farmers in WA in 2000, today there are around 4,000 and around 20-25% of them failed to get finance to plant a crop. Plenty of cheap farms around at the moment. There is toxic overhang because many farms and machinery have no buyers. Can they get cheaper? Abolutely! I haven't seen any evidence of a panic phase yet. Good luck."
I have very little knowledge of farming.
Is the overhang of cheap farms due to lack of interest in WA farming, or is there something else behind it?
And what is your prediction re. the future of Australian grain farming?
Do you think the chinese will include the aquisition of WA farms along with other farming land they have been buying around the world?
