BREAKING NEWS

High Food Prices One More Thing We Can Blame On Big Investors

Oct. 27 2008, Published 7:07 a.m. ET

Link to FacebookShare to TwitterShare to Email

SWEET IOWA GOLD Corn America's crappy housing market, weak dollar, and troubled finance sector have forced institutional investors to look elsewhere for places from which they can draw their rapacious profits. What's hot for spring? Commodities like food and fuel. And that's a big reason for rising prices of those two vital categories: Speculators are dumping their money into the markets and creating a bizarre feedback loop in which speculator demand increases as prices rise. Or so says Michael W. Masters a hedge fund manager who testified before the Senate Homeland Security and Government Affairs Committee yesterday.

Article continues below advertisement

Of course, not everyone believes this to be true:

Advertisement

DAILY. BREAKING. CELEBRITY NEWS. ALL FREE.

© Copyright 2022 Radar Media Group LLC. RADAR and RADARONLINE are registered trademarks. All rights reserved. Registration on or use of this site constitutes acceptance of our Terms of Service, Privacy Policy and Cookies Policy. People may receive compensation for some links to products and services. Offers may be subject to change without notice.