UN: Food Prices Won’t Drop for Another 10 Years
May 22nd, 2008 | By Contrarian Profits | Category: Featured, Financial NewsAgricultural commodities won’t drop back to pre-crisis levels for at least ten years, according to a report by the OECD and the UN. This from the Financial Times:
Food prices have undergone a paradigm shift and will not drop back to pre-crisis levels for at least the next 10 years, putting long-term pressure on governments facing the food crisis, according to a forthcoming report.
The report, by the Organisation for Economic Co-operation and Development and the UN’s Food and Agriculture Organisation, will say food prices have moved to a “higher plateau” because of rising demand from the biofuels industry and developing countries such as China.
Bill Bonner in The Daily Reckoning says, “Capitalism had already pronounced its verdict on corn-based fuel: it was a bad idea. Later, environmentalists came to the same conclusion; it actually caused more damage than petroleum. But the US Congress, in its majestic wisdom, saw something in ethanol that capitalists and environmentalists had missed – campaign contributions and votes!
“And so it came to be that a large portion of the US corn crop is diverted into fuel tanks. And so it comes to be that a large number of the world’s people – including Americans themselves – find their food much more expensive than it used to be.”
Advertisement
The CIA Uses It to Crack Codes... Now It Predicts Volatile Markets
Government mathematicians use it for high-level code breaking. And without this one formula, the B-2 bomber couldn't fly an inch off the ground. Now it's being used to "speak the language" of the market - with a 95% accuracy. Part of the formula looks like this: 0109(X)+1(g)667(Uk+l).
It's making a handful of savvy investors extremely wealthy by taking emotion - and losses - out of the game.
Get this just published report.