Soaring Food Prices and Price Inflation

Corn and soybean futures prices reached record highs this month, and wheat rose to its highest since 2008 as crop conditions worsened in the US grain-growing regions. This, however, should not be considered price inflation in the sense that all prices are rising.

Food prices are climbing because of supply problems, not because of Fed money printing. If the Fed starts printing aggressively again, either because of  a stock market crash or after the election, food prices will climb even higher, perhaps at double-digit rates.