Food manufacturers world wide telling us that they think their prices have reached the limits of consumers financial ability to buy. Food unit sales dropping everywhere. Down 6%. Huge for the stable grocery industry. “But the cracks in demand are spreading to basic goods. Shoppers are skipping the bread aisle, with unit purchases from US grocers declining 2.7% over the past year through July 2, according to data from NielsenIQ. Americans have also bought less milk and eggs from retailers over the same period.”
And now the drought hits in perfect timing. Doom On.
“It’s really hard because how high can you pay for a loaf of bread?” said owner Vincent Colombet. “Can you pay $20 for a loaf of bread? No. We are really squished between the hammer and the anvil.”
Poster Comment:
Corn delivers for the futures market are due on September 16th. Ag commodities will break.