Trade of the Day: Pray for Rain
Back in May, the U.S. government predicted a 2.5 percent drop in almond production as drought gripped California, which grows 80 percent of the world's supply.
Farmers, though, are a resourceful bunch; after diverting water from less-valuable vegetable crops and drilling more wells, the forecast now is for a 4.5 percent rise in this year's crop, which will start being harvested at the end of this month.
With almonds fetching more than $3 a pound, the nuts are poised to beat 2006's record average annual value of $2.81, Bloomberg's Megan Durisin reports. So the Trade of the Day is to pray for rain in California; those thirsty almond trees are doing OK now, but they will do better when the drought breaks and so will the vegetables.
This column does not necessarily reflect the opinion of Bloomberg View's editorial board or Bloomberg LP, its owners and investors.
To contact the author on this story:
Mark Gilbert at email@example.com
To contact the editor on this story:
James Greiff at firstname.lastname@example.org