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BA Deere
Honored Advisor

Corn price like $1.99 Filet Mignon?

Gotta run but this coin dealer explains the Gold smackdown as being akin to "$1.99 filet mignon".  I would say the same principle could be extrapolated to current grain prices as well.

 

http://news.goldseek.com/GoldSeek/1437757954.php 

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11 Replies
roarintiger1
Honored Advisor

Re: Corn price like $1.99 Filet Mignon?

It is certainly  no secret that corn, soybeans, & wheat  are "on sale".........

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rawhide
Advisor

Re: Corn price like $1.99 Filet Mignon?

Good read BA

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bruce MN
Advisor

Re: Corn price like $1.99 Filet Mignon?

If you can get past the by-line check out the content to see if it doesn't ring just a bit:

http://krugman.blogs.nytimes.com/2015/07/25/the-old-man-and-the-cpi/?module=BlogPost-Title&version=B...
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BA Deere
Honored Advisor

Re: Corn price like $1.99 Filet Mignon?

Well Bruce, what Krugman is conveniently leaving out of his analysis is that the fed`s quantative easing all ended up in the stock market..so of course the stock market defys gravity, also everyone puts their 401K in the stock market.  The fed plunge protection team runs in like SEAL team 6 when there`s a "glitch". 

 

We have this ability to print money to keep the lights on and entitlement checks in the mailbox.  All the other "Playas" in the world stage are doing the same and since we have the most F-22`s, Humvees and RPGs we are the cleanest dirty shirt in the hamper.

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viperkev
Veteran Contributor

Re: Corn price like $1.99 Filet Mignon?

Ten years may sound like a long time but in the commodity world it really isn't. Gold was less than 1/2 of were it is at even today's level.

 

The same year corn would have been 1/2 of were it was a month ago.

 

Crude oil is approaching the same level as that year. If people can't realize that this commodity bubble has burst and we are heading lower on almost everything due to the China bubble then everyone needs to go study cycles.

 

I will even go one step farther and say that the world is actually heading back to the same type of 2008 crash that world governments including yours in the U.S. bailed out with big money and this time around I don't think governments can afford to bail the system out again. Look at China, Greece, Brazil, Japan and the list goes on and on. It was the Chinese that made this last commodity bubble happen mostly and they are heading for a major correction or depression.

 

Kevin

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bruce MN
Advisor

Re: Corn price like $1.99 Filet Mignon?

Don't totally disagree and you didn't read it very well or objectively if you didn't catch that he points that out. There is a chasmatic difference or gap between the neoliberal view (GWB, WJC,HRC, mitt, Jeb, etc) .and the genuine progressive view. Much wider than that between the neoliberal view and that of the pseudo-libertarians running around humping for the GOP nomination.
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BA Deere
Honored Advisor

Re: Corn price like $1.99 Filet Mignon?

Well, we are in a Keynesian system up to our eyeballs, so occasionally if we get a "Austrian" school of thought politician, it`s like a engine that leaks diesel fuel into your oil and antifreeze in your oil..doesn`t work.  That is probably why, truth be told, we`ll have to hit rockbottom and start afresh with "statespersons" from the Ludwig Von Mises University.

 

Keynesism does have a sunset when all the gimicks go dry and i have a feeling those of us reading this will live long enough to see it.

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viperkev
Veteran Contributor

Re: Corn price like $1.99 Filet Mignon?

No I didn't understand that as I thought Filet Mignon was a lot more expensive than $1.99

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BA Deere
Honored Advisor

Re: Corn price like $1.99 Filet Mignon?

Hey Kev, I was reponding to Bruce.  But, "$1.99 filet mignon" is a metaphor for the price of a expensive piece of meat that doesn`t exist, kind of like advertising cars for $99, you get there and they don`t have a engine or doors.  ...Well feeder cattle is a better example on the board last fall, they were $220, but at the salebarn they were selling for +$300.