Global macro investing provides unique uncorrelated return opportunities within a diversified portfolio. This blog focuses on current economic and finance issues, changes in market structure and the hedge fund industry as well as how to be a better disciplined decision-maker in the global macro / managed futures space.
Wednesday, October 19, 2011
End of Canadian wheat board - ascent of futures
The end of the Canadian wheat board is nearing. The CWB has had a monopoly on marketing western Canada wheat since 1942. Legislation for its elimination may be passed by the end f the year. The ICE futures exchange, through its Winnipeg exchange is preparing to offer futures on milling, durum and barley. The Minneapolis Grain exchange is expected to see more trading on its hard red spring wheat contract. The hedging of grains will be placed in the hands of farmers and will not be based on prices provided by the government. This is a major development which will change the movement of grain exports around the world.