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To: ecrire who wrote (5501)6/11/2007 4:51:39 PM
From: ecrire  Respond to of 50716
 
Correction: my reference to the late seventies should have said large distributors(e.g.General Mills) (not refiners) suffered major losses. But the progression of feeder cattle to full weight is not an analogy to sugar.



To: ecrire who wrote (5501)6/11/2007 5:04:58 PM
From: tdl4138  Respond to of 50716
 
You missed my point completely.

Obviously there is no "connection" between cattle and sugar.

But I'll try again....

I used cattle as an example. The point being that the producer doesn't always receive the benefit of a move in the commodity. At least not all of it. The "processor" i.e., in the case of sugar, the refiner, not only receives the benefit of an upward move in the commodity...but also the "added value" of the refined products.


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