Spring sowings in Canada's agricultural heartland have stalled with an area bigger than Belgium still unseeded.
Widespread rains and flooding across the Prairies have dashed hopes of any additional seeding. Today is the crop-insurance deadline for seeding across the Prairies.
The US economy runs on a 33 year cycle regarding it's fiscal management and economy. Real estate runs on a 9 year cycle. And then you have weather cycles. Weather cycles affect food production. The bean crop in Brazil has already failed. I agree that food prices are going to skyrocket. It's confusing for everyone because we are in both a deflationary and inflationary period at the same time. Houses, cars, stereos are going to go down in price. Food and energy up.
All these cycles are coming together this year. Gyrating times!
The sad thing is the amount of disposable income used to keep yourself alive buying food. Here in North America we only spend about 15% DI to do that. Most places around the world are much, much higher. eg. Egypt is around 80% of disposable income. When you are that "close to the bone", not much of a rise in price puts you in the starvation bracket.