One hundred dollar bill in pile of cornWhile corn prices in the $7/bushel range are a boon for producers in the short term, especially after years of sub-breakeven prices, it’s not a sustainable pricing scenario given the revenue erosion such costs cause for livestock feeders, ethanol refiners and other end-users. With so many commodities seeing record-high price spikes recently, it’s got some analysts speculating about the rise of a general commodity “supercycle” in which strong demand continues to drive prices higher across the board. The last time it happened was around 13 years ago when China was amidst an infrastructure building boom. Though there’s not yet a clear single demand driver like that, it’s speculated to be in the works with potential massive infrastructure development in the U.S. Though the rise in commodities started in 2020 when prices for things like crude oil were extremely low, tight general global grain demand will likely continue to contribute to high grain prices, though settling to more sustainable prices — closer to $4/bushel for corn, for example — will help lessen the price shock on other members of the supply chain beyond the farm gate, one analyst says. See more on the potential for an ag supercycle.