Gleadell Agriculture is highlighting a new risk management service at Cereals 2016 that will provide farmer customers with a better understanding of factors affecting markets to help fine-tune marketing decisions.
Gleadell Market Intelligence (GMI) has been successfully used by farmers over the past year and is being rolled out more widely this summer.
Visitors can attend any one of four presentations being held on the Gleadell stand at 1100hs and 1400hs on each day of Cereals 2016 to hear more about what the service has to offer.
GMI uses tools favoured by market analysts to predict grain market movements and help improve profits, says Chris Wood, oilseed trader and analyst at Gleadell Agriculture.
“We are aiming to provide farmers with information on non-fundamental price movements, which are governed by factors such as market sentiment, price analysis, trend identification and fund selling targets,” he explains.
“Hedge funds trade very large paper volumes, never physical grain, and can buy millions of tonnes very quickly. This can have a significant effect on markets.
“A good understanding of market psychology can also help show which way prices will move and by how much, identifying trends, likely turning points and areas of support and resistance in the market.
“Like all human beings, people operating in financial markets are influenced by emotions such as fear and greed. This can translate into price action, particularly in volatile environments like weather markets.”
GMI will also provide reports on more fundamental market drivers such as crop supply and demand, global macro-economics and exchange rates, using the experience, expertise and global presence of Gleadell’s shareholders, ADM and Invivo.
“This will ensure farmers have the full picture to help them fine-tune their marketing decisions,” says Mr Wood.
A weekly GMI factsheet will be sent to farmer members and a video will also be produced to provide additional market detail.
Gleadell trades in all the main agricultural commodity markets, both within the UK and further afield, supplying food, feed and fuel markets. In addition to the GMI presentations, traders will be on hand to discuss the outlook for all combinable crop markets and explain how the company’s diverse range of risk management options can help protect profits.
Gleadell specialists will also be available to discuss the company’s extensive range of cereal, oilseed, pulse and root seeds, as well as forage crops, organic and small seeds, which are now available on the company’s recently launched small seeds website.
Gleadell is also one of the UK’s largest fertiliser suppliers, offering an extensive fertiliser portfolio, including CF Blue Bag products, imported urea and P and K fertilisers.
- Gleadell Agriculture is exhibiting on stand 442 at Cereals 2016, which takes place on 15th and 16th June at Chrishall Grange, near Duxford, Cambridgeshire.