GFM Network News


Kemp: Commodity markets will go dark if U.S. shutdown continues

If the U.S. government shutdown continues for more than a few days, commodity markets will find themselves flying blind, as the public servants responsible for producing statistics on which traders and investors rely are sent home. The Commodity Futures Trading Commission (CFTC) said Tuesday it will not publish the commitments of traders and other market […] Read more

U.S. farmers are withdrawing unsustainable amounts from aquifers

Reuters / American farmers are withdrawing unsustainable volumes of groundwater to irrigate crops, resulting in an accelerating decline in aquifers across the central and western U.S., according to a new report by the U.S. Geological Survey. Groundwater resources have shrunk by 1,000 cubic kilometres since 1900 — about double the total amount of water contained […] Read more


Price bubbles and commodity markets

Athoughtful new paper from researchers at the University of Illinois marks a significant step forward in research on how commodity futures prices are formed. Until recently, the academic and policy debate about futures price formation has been locked in an acrimonious and polarized standoff between market fundamentalists, who insist all price moves reflect supply-and-demand fundamentals, […] Read more

Price bubbles and commodity markets

Reuters / A thoughtful new paper from researchers at the University of Illinois marks a significant step forward in research on how commodity futures prices are formed. Until recently, the academic and policy debate about futures price formation has been locked in an acrimonious and polarized standoff between market fundamentalists, who insist all price moves […] Read more


In Other Words, Throwing A Dart Is Just As Good

Enormous resources are now being poured into commodity price forecasting but a thoughtful paper by the New York Fed casts doubt on whether it is likely to be successful. In a 2010 working paper on “Commodity prices, commodity currencies, and global economic developments” and now featured on the New York Fed’s website, Jan Groen and […] Read more

Don’t Get Carried Away By The Farmland Hype

Parallel stories quoting the same leading economist appearing to say contradictory things about investment in farmland bring a wry smile and provide a lesson in the importance of psychology and behavioural approaches to finance. Investment News,which describes itself as the leading news source for financial advisers, has renowned Yale Professor Robert Shiller advising investors to […] Read more