Heard this on the Weather Channel this morning:
They said unless a new Farm Bill is passed by January 1, the price of milk will rise from $3.69 per gallon to at least $6, and perhaps as much as $8 a gallon!
Milk will turn from a staple to a luxury item on kitchen tables. American Cheddar will surpass French Brie in price!
Got Milk? Got Gold?
Yours in Milk…..errrrr Gold,
CIGA Wolfgang R
Milk, Grocery Prices On The Rise If Congress Ignores Farm Bill
8:22 AM, Dec 26, 2012
(CBS NEWS) — Santa suit-clad warriors who’ve stormed the Hill protesting for a Christmas free of concern that their tax rates will soar Jan. 1 may have more at stake than they realize: Even if lawmakers manage to patch together a makeshift bridge across the so-called "fiscal cliff" by year’s end, it’s looking increasingly doubtful that a farm bill will be included as one of its planks. And with milk prices set to spike to $6 to $8 a gallon come January, Saint Nick may see the average family’s budget cuts affecting his favorite milk-and-cookie spread.
The "dairy cliff" is just the most immediate of what would be gradual price increases on foods across grocery stores if Congress doesn’t pass a farm bill to replace the one that expired nearly three months ago. Technically, farm regulations since the end of September have been operating under a 1949 "permanent" law. Because the 2008 law covered all crops planted in 2012, though, and federal funding for many agricultural programs is assured through March 2013, lawmakers have enjoyed a bit of a grace period, until Jan. 1, before products like milk would skyrocket to prices based on dairy farm production costs 64 years ago.
But just days before the end of the year, farmers and their bankers – left in the lurch with decisions about next year’s crops – are still waiting and hoping for a holiday miracle in Washington. Agriculture Secretary Tom Vilsack might advise they don’t hold their breath: After weeks of aggressively campaigning to get the House and Senate Agriculture Committees in a room to hash out the makings of a new five-year plan, Vilsack this week conceded the unlikelihood a bill will pass by Jan. 1.
The email you posted from CIGA Belgian was brilliant. It solves the Triffin dilemma and brings honesty to future global fiat exchanges. Thank you.
The future free floating ‘price’ for physical only exchanges at any scale is the reason I hold gold pieces in my possession today.
PS – I’ve been reading your site for a few months and live with three dogs. Thank you for the dog appreciations.
The Belgian opinion fits my conclusion that gold will not be convertible in the new system, but will be lightly tied to a Western world M3 by a loose agreement that sets values according to gold held by treasuries as goals to be adopted but voluntarily accomplished. I have been writing on this since early 2000 in my vision for a re-jigged new currency system. The fiat currencies that adhere tightly to this Washington type agreement will be the strongest currencies still in a paper system. For fun let’s call it the "Euro, Ruble, Yuan, Moscow Agreement" as any thought of a dollar based revamp has been invalidated by the size of QE now and to come.
You need not be a graduate mathematician to revamp the system. Writing of 10,000 word tomes is just trying to show others how smart you are. This is what is to come. It is a solution by those governments willing to adhere to, let’s call it "The Moscow Monetary Gentlemen’s Agreement."
This is extremely bullish for the price of gold and a primary reason why I have a mindset that does not waver.
Give the puppies a belly scratch for me,
Jim Sinclair’s Commentary
Courtesy of CIGA Luis Ahlborn Sequeira.
Gold Bulls Strongest Since August as Funds Retreat: Commodities
“The problems we’ve seen over the last year haven’t disappeared,” said Thorsten Proettel, a commodities analyst at Landesbank Baden Wuerttemberg in Stuttgart, Germany. “There is still lots of potential for trouble in the world and that is a good reason for people to stay in gold or buy more.”
When the continual “saving the day” last minute announcements are no longer heeded, then the financial arena will experience negative events that only gold could provide a safer haven for.
Every few days, just as the markets are about to collapse, someone from Washington comes out with an optimistic statement about the fiscal cliff negotiations. I no longer believe it.
Boehner announced around 2:30 that he is coming in on Sunday evening at 6:00 to work on the fiscal cliff (“Here I come to save the day!”). For those who are old enough to remember our hero:
Just after the Dow broke 13,000 to the downside, rallied above 13,000, and couldn’t hold, dropping back below 13,000.
This would have made for a MAJOR collapse in the Dow, had he not stepped in and said something (wink, wink).