Wall Street Journal: Load Up The Pantry

Wall Street Journal: Load Up The Pantry

online.wsj.com

No, this is not a drill.

You've seen the TV footage of food riots in parts of the developing world. Yes, they're a long way away from the U.S. But most foodstuffs operate in a global market. When the cost of wheat soars in Asia, it will do the same here.

Reality: Food prices are already rising here much faster than the returns you are likely to get from keeping your money in a bank or money-market fund. And there are very good reasons to believe prices on the shelves are about to start rising a lot faster.

(visit the link for the full news article)

LOL! The Wall Street Journal, of all people is now touting stock-piling food as a savings investment to the coming Food crisis! If that doesn't send up red-flags of the looming disaster awaiting us, nothing will! Food prices are literally exploding, with no end to the escalation in sight!

Stocking up on food may not replace your long-term investments, but it may make a sensible home for some of your shorter-term cash. Do the math. If you keep your standby cash in a money-market fund you'll be lucky to get a 2.5% interest rate. Even the best one-year certificate of deposit you can find is only going to pay you about 4.1%, according to Bankrate.com. And those yields are before tax.

Meanwhile the most recent government data shows food inflation for the average American household is now running at 4.5% a year.

online.wsj.com
(visit the link for the full news article)

[edit on 23-4-2008 by DimensionalDetective]