Three ETFs To Play Rising Rice Prices

Poor weather conditions around the world may result in a supply shock, pushing rice, grain and other agricultural-based commodities higher and giving positive price support to the ELEMENTS Rogers Intl Commodity Agri ETN (RJA),  the PowerShares DB Agriculture Fund (DBA) and the iPath DJ-UBS Agriculture TR Sub-Idx ETN (JJA).

According to the UN Food and Agriculture Organization, Thailand witnessed the its worst flooding in more than 50 years resulting in nearly 13 percent of the nation’s rice crop to be destroyed.  This is vital to global supply as that Thailand accounts for more than 30 percent of global rice exports.  Read more of this post


Surging Demand May Boost Cotton ETNs

August 16, 2010

A surge in demand by emerging markets, depletion in inventories and Mother Nature may paint a rosy picture for cotton in the near-term future.

Demand in China and India for cotton has surged and is expected to remain healthy.  The world’s largest cotton consumer, China, has seen demand for the commodity surge nearly 24% and demand growth in India is similar. Both of these nations have seen a surge of wealth and an expansion of the middle class which have started to spend more, in particularly on clothing.  In fact, retail sales of garments, hats and knitwear in China have jumped by 24% from a year earlier, reports Jennifer A. Johnson and Elizabeth Campbell of Bloomberg. Read more of this post