Is inflation risk overhyped?

Is inflation risk overhyped?

A lot of people — perhaps too many — are talking about inflation

A lot of people, perhaps even too many people, are talking about inflation. I say this because when there’s so much attention on a topic, you have to wonder if it’s being overhyped, or if maybe there’s something more to it. Various inflationary factors are starting to appear. Recent U.S. government reports show signs of



High prices can skew cost of production, and if inflation returns in earnest, so could higher rates.

Price spikes can bring input cost risks

History highlights what can happen if market events suddenly make the current debt-to-income ratio untenable

Commodity prices have been strong for the past eight months. It’s been a boon for growers, though prolonged periods of decent returns can skew the cost of production. Canadian growers could be open to significant financial hardship if they see sustained price reductions or major production challenges like those experienced in the 1970s and 1980s,


File photo of a steak sandwich with chimichurri sauce at a street food market in Buenos Aires. (Aleksandr_Vorobev/iStock/Getty Images)

Tensions build over Argentina’s beef export ban

Rural associations pledge pause in livestock trading

Buenos Aires | Reuters — Argentine farm groups will halt trading of livestock in protest against a 30-day government ban on beef exports aimed at bringing down domestic prices, the country’s main producer groups said in a joint statement Tuesday. The South American country’s centre-left Peronist government unveiled the ’emergency measure’ to tamp down high

Taxes and food rarely mix well together. If it doesn’t hurt those who provide us with food, it will eventually hit consumers, one way or another.

Comment: Households are getting sandwiched

Many Canadians are stuck between rising food prices and stagnant-at-best wages

Canada’s Food Price Report 2021 was released recently and brought some disconcerting news to Canadians. We could see food prices go up by as much as five per cent in 2021, the highest increase ever predicted by the authors, a group of 24 scholars from four different universities. For a family of four, the food bill could go


Onions are sold at a market at Dharavi, one of Asia’s largest slums, in Mumbai, India on April 7, 2020. (File photo: Reuters/Francis Mascarenhas)

High food prices hurting India’s poor

Inflation pain expected to persist for months yet

New Delhi | Reuters — India’s retail inflation may stay elevated for at least three more months after hitting a six-year high in October, as excess rain has damaged standing crops and seedlings, while edible oils that the country imports have become expensive. The high prices are a particular cause of concern for India’s hundreds

India’s Prime Minister Narendra Modi speaks to media on the Parliament premises in New Delhi in this Nov. 18, 2019 file photo. (Photo: Reuters/Altaf Hussain)

India’s levy cut on lentils part of balancing act

Global markets had zero or little forewarning of decision

MarketsFarm — To Pulse Canada, the recent move by the Indian government to temporarily reduce the import levy on lentils from 30 to 10 per cent is part of a balancing act between competing interests. Greg Cherewyk, president of Pulse Canada, explained that Prime Minister Narendra Modi is “looking after the needs of a politically


Unlike what many analysts have said in the past, the food sector has never been recession-proof. COVID-19, however, may show us that it is in fact immune to deflationary pressures.

Opinion: Better get used to higher food prices

Food inflation is vastly outstripping price advances in other products

Despite a negative inflation rate, recent StatsCan numbers are telling us that we are in for a wild ride at the grocery store. The numbers are also telling. While the general inflation rate sits at -0.2 per cent, the food inflation rate is at 3.4 per cent. In December 2019, Canada’s Food Price Report forecasted

Reginald Conyers, a traveling busker, plays the trumpet outside a Safeway while people observing social distancing wait in line to enter the store  in Oakland on March 20, 2020. (Photo: Reuters/Kate Munsch)

Panic buying, lockdowns may drive world food inflation

World has ample grain and oilseed supplies, FAO and analysts say

Singapore | Reuters — Lockdowns and panic food buying due to the coronavirus pandemic could ignite world food inflation even though there are ample supplies of staple grains and oilseeds in key exporting nations, a senior economist at FAO and agricultural analysts said. The world’s richest nations poured unprecedented aid into the global economy as