There is no doubt in our minds that some of the QE3 liquidity will leak into agricultural commodities. In addition, a portfolio reallocation will take place as investors look to protect their purchasing power through buying finite “things.”
This will only fan the flames of the global food crisis, generate hording and further driving up food prices. Expect more political instability.
Can’t these guys see that the policy has become much of the problem? Bad timing, Black Hawk Ben.
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