Posted on 04/23/2008 5:18:10 PM PDT by 2ndDivisionVet
Farmers and food executives appealed fruitlessly to federal officials yesterday for regulatory steps to limit speculative buying that is helping to drive food prices higher. Meanwhile, some Americans are stocking up on staples such as rice, flour and oil in anticipation of high prices and shortages spreading from overseas.
Their pleas did not find a sympathetic audience at the Commodity Futures Trading Commission (CFTC), where regulators said high prices are mostly the result of soaring world demand for grains combined with high fuel prices and drought-induced shortages in many countries.
The regulatory clash came amid evidence that a rash of headlines in recent weeks about food riots around the world has prompted some in the United States to stock up on staples.
Costco and other grocery stores in California reported a run on rice, which has forced them to set limits on how many sacks of rice each customer can buy. Filipinos in Canada are scooping up all the rice they can find and shipping it to relatives in the Philippines, which is suffering a severe shortage that is leaving many people hungry.
While farmers here and abroad generally are benefiting from the high prices, even they have been burned by a tidal wave of investors and speculators pouring into the futures markets for corn, wheat, rice and other commodities and who are driving up prices in a way that makes it difficult for farmers to run their businesses.
"Something is wrong," said National Farmers Union President Tom Buis, adding that the CFTC's refusal to rein in speculators will force farmers and consumers to take their case to Congress.
"It may warrant congressional intervention," he said. "The public is all too aware of the recent credit crisis on Wall Street.
(Excerpt) Read more at washingtontimes.com ...
More trouble thanks to the government.
Always Americans fault.
Maybe if we stopped thinking it was our responsibility to feed the rest of the damn world shortages would not occur. As far as I am concerned we don’t need to be eradicating disease and/or treating the rest of the damn world either. Let them sink or swim on their own.
When times get hard there is always a tendency to stock up on food and fuel.
Speculators are scumbags profiting on rumors and excuses they probably start.
I agree. Hoarders and speculators are driving the prices up.
“As far as I am concerned we don’t need to be eradicating disease and/or treating the rest of the damn world either. Let them sink or swim on their own.”
Amen to that!
sure does. just like oil. except i can live without rice, oil and sugar without too much trouble.
Let me help out here:
1. Crops are for food.
2. Drill for oil.
This really is not a laughing matter. I think the gov’t is trying to keep it under wraps or else there will be a major panic. Think about it.
Why would the poor countries be complaining about the price of food when we have been literally giving them everything at taxpayer expense!
I hope those ungrateful ingrates starve.
Hungry?????? Get a job! Grow your own!
Oil for food!!
As I mentioned on another thread this afternoon, back in the 70’s there was a toilet paper shortage because of a rumor started by Johnny Carson. People thought the rumor was true, and you absolutely couldn’t find toilet paper in the stores for a few weeks because people were hoarding it.
Hard to believe but true.
http://thelongestlistofthelongeststuffatthelongestdomainnameatlonglast.com/trivia74.html
Seriously,
Has anyone witnessed this?
Is the Washington Times on to my secret donut hiding place?
I just filled my tactical Diesel reserve so as to not have to be bothered going to the “gas” station until after hurricane season.
W and his minions have inflated the currency. In times of inflation, buying ahead is a wise thing. Tell W and Bernake to stop the inflation.
Paying farmers not to farm ain’t gonna help matters either.
Supply manipulation always drives up prices.
Just look at what a Nintendo Wii listed for and what people stood in line, purchased, and then resold for double money!
I know that isn’t food. But speculators like to hoard supply. A penny rise in soybeans per bushel netted a friend several thousand dollars. He was buying on margins so little money was tied up. of course, the broker made a big fat commission.
On he other hand, a penny per bushel lower could call in his margin and he would have to cough up several thousand dollars to make up the loss.
At some point, every bubble bursts. Commodities are better than cash right now. They are keeping up with this rampant inflation our government is trying to hide.
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