Gold and copper up while silver surges
A perfect storm blew silver, the blue metal, up more than gold or copper, both of which rose to new record highs early this week.
The stampede into silver shared some of the demand incentives with other metals, but its unique capacity to conduct electricity accounts for its growing demand by industry. Its low price compared to gold and copper seemed to be discovered just as those craving it (solar, vehicle manufacturers, everything electronic) realized they can’t survive without it.
While gold and copper just exceeded their all-time record highs, silver, at $30 per ounce, is nowhere near its high of $50 set in 2011. Speculators have surmised that silver, often dubbed the poor man’s gold, could exceed gold in price whether economies strengthen or collapse. Others look at paper currencies and wonder what will be the most valuable in the future if geo-political events reduce our confidence that our central governments will succeed with climate change, military threats and tariffs on the menu. Mexico, by the way, is the world’s No. 1 source of silver.
Copper hops up through midweek
Copper’s price surged nearly 30% in value this week as Trump discussed imposing tariffs within a few weeks, rather than toward the end of the year. The move led U.S. suppliers to stockpile the mineral. Shipments to the U.S. this month reached 500,000 tons, up from 70,000 tons prior to tariff talks.
Copper has uses in construction, manufacturing, defense and energy, especially in energy transition with EV’s and renewable infrastructure for solar and wind. Chile, Peru, China and Democratic Republic of the Congo are the world’s largest producers, while Europe and China are its biggest buyers.
The recent influx of copper into the U.S. leaves world supplies short. Experts predict that world demand for copper will be met by only 70% by 2035.
Cattle climbs while wheat gets pummeled
Fat cattle for April delivery flirted with $210 per hundred pounds as a shortage of feeder cattle and market-ready cattle continues. Wheat dropped to its lowest level in six months due to chances of rain in Kansas, Nebraska and the Black Sea.
Agricultural fields feature successful women
Many of us are aware that Old MacDonald had a farm, but not many realize that nearly 36% of farm workers are female. Women’s History Month this March can remind us that women have been a vital force in farming from Mesopotamia and ancient Greece forward.
The USDA Census of Agriculture counts more than 1.2 million female agriculture producers in the U.S. The Farm Bureau tells us that in the past 40-plus years, U.S. women-led farms have tripled; however, only 14% of U.S. farms are operated by females with 9% of U.S. farms run entirely by women. Females in farming tend to be younger than their male counterparts.
The numbers seem to indicate that women will continue to impact U.S. agriculture production as a major force. A full 56% of farms have female producers. Women-run farms own 85% of their farmland while men own only 66% of theirs. Nearly 41% of beginning producers are women.
CME midday prices: Price per bushel: July Soybeans, $10.35; July Corn, $4.59; July Wheat, $5.40. April Livestock per 100 pounds: Cattle, $209.00; Hogs, $86.80. Metals per troy ounce: June Gold, $3,110; May Silver, $34.80. May Copper per pound: $5.15. May Crude oil per barrel: $69.50.
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