Community Chat

Quick links
Turn on suggestions Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for 
Search instead for 
Do you mean 
Reply
Honored Contributor
terrier3
Posts: 13,954
Registered: ‎03-10-2010

Food Price Mystery Solved (partially at least!)

‎03-10-2011 03:41 PM

All commodities are going up because of rampant speculation. Oil, food, etc.

Food is especially bad because of global climate change trends last year that wiped out many crop (coffee beans, wheat, etc.)

Investment banks are getting money from the fed for 0 interest. Yes, they borrow at NO INTEREST.

What to do with the cash? They COULD loan to small businesses, but for immediate profits - money that can be made practically overnight - they are investing in commodities.

There used to be rules about who could invest in commodities. It was limited to those directly involved - farmers, supermarkets, food processors, etc.

But now they ALL can take that free cash - flood the markets and raise prices into the stratosphere, regardless of whether the product is in short supply or not.

Who gets squeezed? WE do - the consumer. Billions are flowing to bankers (who do no real work BTW - just move money around). We are paying them to direct the flow of $$$$$ their way.

Sorry - long winded - but very true.

Report Inappropriate Content
Message 1 of 1 (51 Views)
Labels:
Reply
0 Hearts