Page 2 - Commodity Inflation News Today

Is it a leading indicator for other inflation components. >> not necessarily. >> you don care. if other prices were going to go through the roof. >> i care. >> im a vegetarian and i say theyre high but they will come down. >> but you think this wont last long. >> ultimately it will not last long because these ranchers will be able to produce more heads of cow. >> i think youre being too cavalier about it. i do. >> im the only one around here from a farming community. im the only one who can smel...

Grilled at the grill. in case you havent noticed, ground beef prices are sizzling and at a record high and this coming with a big jump in wholesale food prices. >> this is a giant disconnect between main street and the government number crunchers. one of the tricks i think they do is lets say ribeye goes up in price, a year later theyll say you can still have chuck. so technically, theres no inflation. why are you crying? dont worry about it. >> but people will go to a cheaper cut of meat. >> th...

Dislocations, commodity inflation. the economy has to stand on its own. >> neil: that is going to be a big reality. one of the things im worried about, you dont have to take all the money away at once? if the fed would say whatever they are doing, if we are going to make $75 billion a month, wouldnt that be enough to rattle these guys? >> i think it would still continue to be a pretty substantial support if you look at the stock market comparative charts, it still shows take certain percentage o...

Because of all of the interest rates and returns on safer investments and u.s. government bonds and cds and all of those rates are down. sophisticated investors go out and they bid up more risky assets. you are forcing people to invest in more risky assets. and thats what these moves do and creates commodity inflation. thats when the rubber meets the rod. and raise rates and create a recession. >> mike: charlie, you make a lot of sense. you should be in the government. but then he probably wont ...

Because of all of the interest rates and returns on safer investments and u.s. government bonds and cds and all of those rates are down. sophisticated investors go out and they bid up more risky assets. you are forcing people to invest in more risky assets. and thats what these moves do and creates commodity inflation. thats when the rubber meets the rod. and raise rates and create a recession. >> mike: charlie, you make a lot of sense. you should be in the government. but then he probably wont ...

And why does the stock market go up? it goes up because all the interest rates, the returns on more, on safer investments, u.s. government bonds, cds, money market funds all of those rates are down. what happens, sophisticated investors go out and other investors go out and bid up more risky assets and youre forcing people to invest in more risky assets. why should a senior citizen have to roll his or her dice in the stock market? thats what they do. it also creates commodity inflation. oil pric...

Because of all of the interest rates and returns on safer investments and u.s. government bonds and cds and all of those rates are down. sophisticated investors go out and they bid up more risky assets. you are forcing people to invest in more risky assets. and thats what these moves do and creates commodity inflation. thats when the rubber meets the rod. and raise rates and create a recession. >> mike: charlie, you make a lot of sense. you should be in the government. but then he probably wont ...

Because of all of the interest rates and returns on safer investments and u.s. government bonds and cds and all of those rates are down. sophisticated investors go out and they bid up more risky assets. you are forcing people to invest in more risky assets. and thats what these moves do and creates commodity inflation. thats when the rubber meets the rod. and raise rates and create a recession. >> mike: charlie, you make a lot of sense. you should be in the government. but then he probably wont ...

But how long is this going to last. i dont think maybe say you, a lot of people saw high double-digit increase in the price of pork and poultry products? >> i dont see it sustaining anytime soon. especially from a global perspective, china is having a shortage of picks and has to import more u.s. corn feed to feed their pork. its a global phenomenon or global problem. >> neil: its part of a bigger problem, the idea that food inflation is out there, commodity inflation is out there. people breath...

Made a tact here with keeping rates low for two years, theyre doing this now and i think theyre regretting it. >> theres no way you can keep interest rates at zero and not have commodity inflation, just on the very-- just the logic of it. people are going to go out on the risk spectrum and buy commodities, thats what traders do. and so, its completely absurd, you know, i dont know whats going through ben bernankes head. i know hes a student of the depression and maybe feels we can go back into a...