Thursday, November 18, 2010

Food prices may rise by up to 20%, warns UN

From the Guardian:

The UN today warned that food prices could rise by 10%-20% next year after poor harvests and an expected rundown of global reserves. More than 70 African and Asian countries will be the worst hit, said the Food and Agricultural Organisation in its monthly report.

In its gloomiest forecast since the 2007/08 food crisis, which saw food riots in more than 25 countries and 100 million extra hungry people, the report's authors urged states to prepare for on

GFMS says silver is likely to trade above $30/oz in 2011

From Mineweb:

Author: Dorothy Kosich
Posted: Thursday , 18 Nov 2010


In a presentation Wednesday to the Silver Institute in New York City, GFMS forecast an average silver price of $19.94 this year, a gain of 36% year-on-year.

Despite what currently appears to be a substantial year-end correction in the price, GFMS Chairman Philip Klapwijk said he expects the silver price to trade over $30 per ounce in 2011, "with the annual average likely to easily surpass the current all-time high of $20.98/oz." on

Sarah Palin Food Inflation Controversy

From the NIA:

Sarah Palin on Monday made a speech at a trade-association convention in Phoenix urging Federal Reserve Chairman Ben Bernanke to “cease and desist” his “pump priming”. Palin said the United States, “shouldn’t be playing around with inflation.” She went on to say, "All this pump priming will come at a serious price. And I mean that literally: everyone who ever goes out shopping for groceries knows that prices have risen significantly over the past year or so. Pump priming would push them even higher."

After obtaining a copy of her speech, the Wall Street Journal's Sudeep Reddy wrote an article criticizing Palin's comments about food inflation, saying that, "Grocery prices haven’t risen all that significantly, in fact. The consumer price index’s measure of food and beverages for the first nine months of this year showed average annual inflation of less than 0.6%, the slowest pace on record." NIA finds it unfortunate that Reddy has been brainwashed into believing the government's phony consumer price index (CPI) numbers.

The U.S. Bureau of Labor Statistics (BLS)'s CPI is not a reliable indicator of U.S. food inflation or any type of price inflation. NIA estimates the real rate of annual food inflation in the U.S. to already be 5% and projects that this rate will rise above 10% in early on

Hinde Capital's Ben Davies: Global Debt Has Peaked And There Is No Exit

Hinde Capital's Ben Davies: Global Debt Has Peaked And There Is No Exit

China Considers Raising Gold Reserves

From Business China:

November 17, China is considering raising its gold reserves, a move which would push up gold prices in the future, a person providing consulting services to the Chinese government said.

The source told the 21st Century Business Herald China may gradually increase gold holdings as it is not possible for the country to buy large amounts of the metal within a short time.

China’s gold reserves have reached 1,064 tons, accounting for merely 1.6% of the value of its total foreign exchange reserves. That amount lags far behind the 8,133 tons held by the U.S., and China ranks 85th out of the 101 economies included in a survey conducted by the International Monetary on