Baltic Dry Index dropped another 24 points to 702 on Monday, 39 points away from December 2008's low of 663. Declining demand for shipping can be one of the reason for the sharp decline since October since 2011. The economy slow down in Europe and China may help to pull down commodity prices and lower the food prices, a good new for the poor.
Soybeans price has been declining since August 2011. Once the price drops below 1100 level it may retest the December 2008's low of 777 to complete its major wave C.
When soybeans drop, I would expect the CPO price to drop in tandem. It is possible that the current surge in the prices of the plantation stocks is the last surge before a major pullback. I am assuming the Dow will complete its wave 2 rebound in February 2012.
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