7U.S. Farm Report
ambulance. my eyes are on the china markets. the china exchange is significant rallies, over 120% this year. >> it's just growing. >> it's just growing and because their economy has been extended for an extended time period and they're getting ready for the olympics and one question is what happens after the olympics and does the estimation make themself look good prior to 2008. could they have a little slip in '09, '10. so when they have their natural economic recessions on demand, how is that going to happen? ethanol has been basically the darling of the corn market and biodiesel for beans but now it's blamed for everything and you got an energy bill that can't be passed and could we have a flooding of the corn curb out in 2009 and 2010. >> that has to happen in the meantime. is that part of it? >> and at the same time you've got crude oil, all time record highs with gasoline still below $3. there's a disconnect between gasoline and crude oil. there's going to be a spring back effect but the economy is not being affected by -- so nobody has got real excitement about pushing ethanol.
wanted to ask. what are those questions? >> the european markets are affecting china. they're trying to cool down their economy and tighten up their credit. is this going to affect your -- who ultimately buys their corn. how do you feel about their demand situation? is it going to be a sharp growth? how do you think it's going affect corn? >> certainly if we see europe go into a continuen'ting wide -- it's going to affect china. so from 2007 to 2009 and early 10 when we had the worst whatever we call what we just went through. sure, we saw china's economy slow down. we saw it close to 6% growth. the rest of the world would have loved to have% growth. i believe we're going to see some sort of continent wide growth. ireland, iceland, a lot of these lesser -- less wealthy european countries have been the drivers of growth. they tier ones that are going to slow down. i think they're going to slow that continental growth down. that's going to hurt china's economy. we're talking about maybe, again, 3, 4% growth, which we should still see sustained growth in their incomes, protein demand, meat
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