Agricultural and Food Policy
 Agri Outlook Radio
Number 154
Why are rice prices so high and why are rice consumers from parts of the Caribbean,
to Asia, to Africa angry and/or even rioting over rising rice prices?
Part 6: Is there a bubble in commodities? (1:07 minutes)
Audio/Video Script:
Dr. Bobby Coats
Extension Economist and Professor
University of Arkansas, Division of Agriculture
Is there a bubble in commodities? Absolutely not. This is the beginning not
the end of the global bull market in commodities. When the average investors are
heavily invested in commodities, then let’s talk about a bubble, say ten
plus years from now.
This emerging bull market in commodities will be dangerous. Commodities will
not participate equally, so fundamentals and future expectations surrounding
each commodity should be followed closely. Expect price volatility, expect
corrections, almost no reasonable situation should be unexpected. Individuals
should always seek professional assistance.
This has been Bobby Coats Extension Economist University of Arkansas Division
of Agriculture.
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