From the National Corn Growers Association:
U.S. soybeans and corn are prime targets for tariffs. As the top two export commodities for our country, together they account for about one-fourth of total U.S. agricultural export value. As such, a repeated tariff-based approach to addressing trade with China places a target on both U.S. soybeans and corn. Farmers and rural economies pay the price as a result.
Be prepared. It doesn’t look good for Wisconsin (just like Trump 1.0 didn’t but this time there isn’t $18 billion on tap to bail out the soybean farmers).
We have weekly gasoline prices through week ending 9/30:
Or, have US soybean exports recovered since Trump last reigned? Not in volumes.
Today, we present a guest post written by Jeffrey Frankel, Harpel Professor at Harvard’s Kennedy School of Government, and formerly a member of the White House Council of Economic Advisers. A shorter version appeared at Project Syndicate. I would like to thank Sohaib Nasim for valuable assistance on this month’s commentary, as well my others this year.
Futures prices and PPI have come down (see here). The question is whether the consumer (say a house builder) has seen comparable price decreases. Here are two pictures that suggest they have.
Lumber prices did drop like a rock in Fall 2021 (which JohnH seems to deny); then back up. Then back down.
One year horizon:
Today, we present a guest post written by Jeffrey Frankel, Harpel Professor at Harvard’s Kennedy School of Government, and formerly a member of the White House Council of Economic Advisers. A shorter version appeared at Project Syndicate.
Commodity price indexes through June have turned down, excepting energy. Front month futures prices suggests a further abatement of upward commodity price pressure, including in energy.