Yay for commodities breaking down. It always take a while for it to filter through when prices come DOWN . Just lat night i went and bought a 2 litre of milk and only paid........................$2.99NZD, just 3 months ago the pricks still had us paying $3.60NZD and that is after milk solids dropping 60+% over the last year. It could be more than 60% actually as i do not really follow milk and just trying to go by memory.
I've been saying 66c for a long time, but I may have overestimated the potential strength of the US economy relative to Australia.
Thing is the farmer would have copped the 60% drop in gate price and the consumer is still getting shafted. The processors and retailers will still be doing alright out of the above scenario, that is - until your farms go to the wall.
Our farms do not go to the wall enmass. Uncle government comes to save the day and "assist" ailing farmers.
I think it's a good time to invest in precious metals. Despite seeing price moving downwards I expect to see it hitting support level very soon.
