Good news on food inflation

Today you are seeing a large sell off in grains. Corn and Soybeans are now at the lows of the year and wheat is close to lows within the last 2 years. The reason for the drop is a report from the USDA which shows both corn inventories and acres planted higher than expected. Drop in corn is especially important as corn is used as an input in a very large amount of food products. Consumers should probably see a drop in some food prices or at least a lack of price increases for the next few months.

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