This Has Crushed Nvidia and Bitcoin in 2024
This Has Crushed Nvidia and Bitcoin in 2024
Get 25% off of Seeking Alpha Premium until 4/3/24: https://buildinvestlive.com/seekingalpha
Check out my new Discord! – https://buildinvestlive.com/community
Seeking Alpha Premium Review – https://youtu.be/GxH71RI0ETs
Nvidia and Bitcoin have dominated the news in 2024 with their large gains, but there’s an asset that has actually…
source
Reviews
0 %
I would like to share some view on the cocoa commodity. The high of cocoa prices will eventually come back down and is not a call for concern. Just like another commodity called oil palm, historically, prices will tend to fluctuate whenever supply runs low due to weather pattern like el nino and so on.
The current high prices in my opinion is due to production is highly concentrated in west africa. When that region has a bad (climate) day, it is natural that supply will be badly affected. Take note that, cocoa can be planted in many parts of the world. Especially the tropics. My country used to produced 8% of the world cocoa bean and we have extensive research and knowledge on this. The only reason why production of cocoa is no longer favoured is because oil palm is better yielding economically.
If the price of cocoa maintain at a reasonable level, many country will start ramping up production again. The low prices of cocoa may not return, unless growers in west africa is continually exploited.
great video as always! the hersheys bar = reckless spending made me laugh out loud.
A new SeekingAlpha subscriber. I will not be as ignorant as I was yesterday.
Do you think higher cocoa price can be actually good for Hershey as smaller companies can't compete with bigger player like Hershey? And their recent addition to SCHD?
Do Hersheys contain any real chocolate?
I heard years ago that cocoa was going to be in short supply in the years to come. And with bad weather on top… not that surprising? That said, producers can probably substitute a lot of the chocolate with artificial ingredients. Same thing that at least here happened with vanilla sauce, which now is just sauce "with the taste of vanilla"
Flattered that you showed my comment. Thank you 😊 🙏
Just to add some explanation, why I assume prices will go down. For agricultural commodities, when let's say corn becomes expensive, corn farmers will make a lot of money. Their neighbours will see that, and the following year, they will plant corn instead of wheat, which will lead to corn oversupply, and corn prices will normalise. Now, I think I wrongly assumed that the same applies for cocoa, but actually, the cocoa tree takes 5-6 years to bear fruit. So, it might be a while before prices normalise depending on whether the trees have died from the draught and diseases this year, or they have just not bore fruit. I think I need to do some more research, but I still feel comfortable holding Hershey. It just might be a 5 year investment instead of a 1-2 year one, though.
You definitely were right about this. I reconsidered keeping my Hershey stock after our short chat. And decided to sell as well.
Time to bet it all on Cocoa. Cocao to the moon baby!
Charlie and the Cocoa Futures Market. Has a nice ring to it! Thanks so much, Matt, for the humour and the insight. Always appreciate your perspective. You have awesome energy and a fantastic attitude 😊. That’s why I like this channel so much. I don’t always agree with you, but I like your process and your insight.
The opposite of a snowflake = Jensen Huang. He's correct again. Don't be soft.
What did i say? I said cocoa was gonna hit 10-15k. I also said googl was gonna drop to 130 before rebounding
Sorry for the loss of your dad. I often rely on my dad ways and wisdom in times of need.
I liked his speech too. You can tell he’s a great leader.
The late Mrs. Owns Hershey. I’m definitely going to reposition her portfolio once I get possession. There are some stocks in her portfolio that I don’t want. AT&T and Warner Brothers come to mind.
Another polished video. Thanks.
The most important aspect of your video. People who want to experience success need to experience failure, and we don’t help our children if we never let that happen to them.
Hehe!
Awesome reveal.
Thank-you for the video.
Everyone is missing the important point of this video. Apple is behind on AI and it's now starting to show just like they are always behind newest features on their phones. Lets see if they can catch up.
Man Cocoa beans is at an all time high no wonder Mr Beast partnered up with Feastable CEO, Jim Murray 😅😅
Really enjoyed the format of this video, thanks!
Speaking of resilience, keep it up. You’re building an excellent channel!
just let me invest in coca, that'll stop the price from going up and bring it back down 😉
Buy HSY at a starting yield of 5%😊😊😊
The sad truth about Cocoa prices is that the major consumers (food companies like Nestle Cargill Mondelez and Hersheys), have always insisted on paying producers as little as possible. This is a disincentive for the farmers who are squeezed by middlemen. Starbucks has (proactively) tried to do the opposite as it sources coffee beans and supports coffee growing co-op’s.
Nestle, Hersheys et al, can proactively “sponsor” farmers co-ops.
Huh… Jesen’s speech reminds me of Romans 5:2-5
“Through him we have also obtained access by faith into this grace in which we stand, and we rejoice in hope of the glory of God. Not only that, but we rejoice in our sufferings, knowing that suffering produces endurance, and endurance produces character, and character produces hope, and hope does not put us to shame, because God’s love has been poured into our hearts through the Holy Spirit who has been given to us.”
I can relate! I lost my dad 10 years ago as well and I have grown so much since
If coca is like coffee than the crops are purchase one or two seasons in advance by the buyers to the providers for a set price so the only thing left for an investor is the "future" market. That is highly speculative market and I am not going there anymore ( I played that in the 1990s).
There are ETF that holds companies that buys future on the price of cocoa on the UK exchange.But I remind myself that I am an investor not a trader.
Great episode as usual.
Cheers,
a.
Awesome. Love the video and I've been watching Hershey myself. Just released a video on my thoughts. Thanks for sharing Matt!
A Hershey bar will costing a Big Mac soon, to a 32 ounce bone in New York steak by year end if cocoa prices keep soaring, never seen anything like it, will there a future correlation to coffee beans? Region/labor workers? If so SBUX will get pummeled. Something tells me those Stanford students were looking to do 1 of 2 options, walk out or charge the stage, lol. Agree 100% with the guy. A year working hard at Jack in The Box or Taco Bell never hurt anyone.
So when is it time to take all our money out of the banks/falling stocks and buy the bunker to survive global warming?
Confectioners will use substitutes; white 'chocolate Milky Bars', instead of a chocolate bar, cover wafers with chocolate, like KitKat, orTurkish delight covered with chocolate, Malteasers covered with chocolate, chocolate covered raisins, and shrink chocolate bar sizes.
Maybe take a look at TLRY. It's not making money yet, but might have a bright future. It's projected to get better. Germany just approved cannabis use, and TLRY is moving into beer making in addition to cannabis.
"Hey kid, would you like a Hershey bar?" – This line has become relevant again.
They make fake meat or vegan meat so make fake/vegan chocolate. 🎉 Problem solved. I’m done.