Wednesday, August 13, 2008
Wheat, Corn and SoyBeans
I just thought I'd post these graphs of wheat, corn and soybean futures (click on the graphs to enlarge - note the date on the chart isAmerican, so they've got months and days back to front). The prices of these grains are falling sharply from their peaks, which should, if sustained, bring down food prices later this year. Grains are used as cattlefeed, so it's not just the price of a loaf of bread that's affected, the price of meat moves too. Coupled with the drop in crude prices, inflation should start to drop as long as wage inflation doesn't get embedded in.