International wheat prices may create crises
From the Daily Times
ISLAMABAD: In neighboring countries prices of wheat are ranging from Rs750 to Rs 900 per 40 kg, which may result in increase of smuggling of Pakistani wheat to India, Afghanistan and the Central Asia Republics.Owing to open trade policy and the new government rates (Rs625/40kg), the investors, hoarders and profiteers will purchase maximum quantity of wheat at higher rate, during current procurement season, to get windfall profit a later stage. Large quantity of wheat will also be utilised in poultry and cattle field in place of maize and broken rice, being cheaper in price, which will further aggravate the position.
Technorati Tags: wheat, famine
CIA enlists Google’s help for spy work
From the Times Online
Google has been recruited by US intelligence agencies to help them better process and share information they gather about suspects.Agencies such as the National Security Agency have bought servers on which Google-supplied search technology is used to process information gathered by networks of spies around the world.
Google is also providing the search features for a Wikipedia-style site, called Intellipedia, on which agents post information about their targets that can be accessed and appended by colleagues, according to the San Francisco Chronicle.
The contracts are just a number that have been entered into by Google’s ‘federal government sales team’, that aims to expand the company’s reach beyond its core consumer and enterprise operations.
Technorati Tags: Google, NSA, spy, privacy
Soybean Acres to Surge, Displacing Corn, USDA Says
U.S. farmers will plant more soybean and wheat crops this year after prices reached records, while corn and cotton acres will drop, the U.S. Department of Agriculture said.The government survey showed growers will seed 74.793 million acres with soybeans, up 18 percent from 63.631 million last year, the USDA said today in a report. Spring-wheat planting will jump 7.8 percent, as corn planting drops 8.1 percent and cotton acres fall 13 percent, the USDA said.
Increased soybean and wheat planting may help refill dwindling inventories, while declining corn output may squeeze supplies available for ethanol makers, including Archer Daniels Midland Co. Prices for most farm commodities reached records this year on booming demand for food, fuel and animal feed.
Technorati Tags: Wheat, Rice, Soy beans, Corn, Famine
Paulson lays out ‘blueprint’ for regulatory reform
From FT.com / World / US & Canada
The Bush administration on Monday called for a complete overall of an outdated US financial regulatory system, but stressed that “more regulation” was the not the answer to current or future financial crises.
Hank Paulson, Treasury secretary, laid out the details of a “blueprint” for reform, which calls for a streamlined system that has fewer regulators and addresses some of the gaps exposed by the current crisis.
But he said: “I do not believe it is fair or accurate to blame our regulatory structure for the current market turmoil… I am not suggesting that more regulation is the answer, or even that more effective regulation can prevent the periods of financial market stress that seem to occur every five to 10 years.”
The Treasury has been working on the proposal since March 2007 in an effort to bolster US capital markets amid growing competition from overseas. But the recent turmoil in the financial markets added urgency to its efforts and raised the political stakes.
Iceland Bank Default Swaps Rise Amid `Unscrupulous’ Speculating
The cost to protect the bonds of Iceland’s three biggest lenders from default rose after central bank Governor David Oddsson said “unscrupulous dealers” are trying to break the country’s financial system.Credit-default swaps on Kaupthing Bank hf, the nation’s largest lender, increased to a record 1.65 million euros ($2.6 million) in advance and 500,000 euros a year, up from 1.58 million euros upfront, CMA Datavision prices show. The cost implies a 59 percent risk of default within five years, according to a JPMorgan Chase & Co. valuation model.
Oddsson called for an international investigation into attempts to drive Iceland’s economy “to its knees,” in a speech on March 28. The central bank was forced to raise its benchmark rate to a record 15 percent last week to defend the krona after a 30 percent slump against the euro this year.
“The longer this goes on, the worse it gets,” said Olivia Frieser, a London-based bank analyst at BNP Paribas SA, France’s biggest lender. “It is a question of confidence.”
Technorati Tags: Iceland, Kaupthing Bank hf, Glitnir Banki hf, Landsbanki Islands hf,
How a failing wheat crop has hit our weekly grocery shop
From the Scotsman.com
The cost of our basic groceries are shooting up dramatically at a time when soaring petrol costs are already hitting motorists in the pocket. Michael Blackley wonders whether there is any respite in sight.
AT this time of year, millions of people across the country are waiting with anticipation – or trepidation – to see what impact their annual pay review will have on them.An employee on the average Edinburgh salary of around £30,000 may expect to see something in the region of £85 added to their monthly wage, based on last year’s average earnings rise. And even that figure may be optimistic this year given the current economic climate.
But, whatever your pay award turns out to be, give it a month or so and you’ll probably find that the extra cash hasn’t helped loosen the purse strings much, if at all.
The Nationalisation of US banks
Via the Telegraph
The US Federal Reserve is examining the Nordic bank nationalisations of the 1990s as a possible interim solution to the US financial crisis.
The Fed has been criticised for its rescue of Bear Stearns, which critics say has degenerated into a taxpayer gift to rich bankersThe Fed has been criticised for its rescue of Bear Stearns, which critics say has degenerated into a taxpayer gift to rich bankers.
A senior official at one of the Scandinavian central banks told The Daily Telegraph that Fed strategists had stepped up contacts to learn how Norway, Sweden and Finland managed their traumatic crisis from 1991 to 1993, which brought the region’s economy to its knees.
It is understood that Fed vice-chairman Don Kohn remains very concerned by the depth of the US crisis and is eyeing the Nordic approach for contingency options.
Technorati Tags: Federal Reserve, banks
Rice and politics in Asia | Empty bowls, stomachs and pockets
From the Economist.com
THE soaring price of rice and dwindling stockpiles of Asia’s staple food are causing anxiety across the continent. In particular the Philippines, a big, hungry country which cannot grow enough to feed itself, could be in trouble. The front pages of Manila’s newspapers scream about a “rice crisis”, as politicians float drastic solutions, such as forcing the country’s top 100 companies to take up rice farming. Farmers in Thailand, the world’s largest rice exporter, are delighted with the price surge, although some were this week said to be hiring guards to protect their valuable crops against “rice bandits”.The president of the Philippines, Gloria Macapagal Arroyo, last month pleaded publicly with neighbouring Vietnam, the second-largest exporter, to guarantee supplies. The two countries signed an agreement on Wednesday March 26th apparently to do just that. But the various escape clauses that Vietnam insisted upon suggest it was more of a face-saving measure than a firm pledge. Vietnam and India, another big rice exporter, have recently announced export restrictions to try to curb soaring food prices at home. This will make it tough for poor, rice-importing countries, in Africa as well as Asia, to secure supplies.
Tens of thousands of wheat acres flooded
From the High Plains/Midwest AG Journal
Farmers along the Arkansas River, its tributaries and other rivers on the eastern side of the state are waiting nervously for the floodwater covering their wheat to drain away.“They definitely didn’t need this,” said Dr. Jason Kelley, Extension wheat agronomist with the University of Arkansas Division of Agriculture. “I’m sure the (flooded) acreage numbers are much greater than we envisioned last week when the rain started–tens of thousand of acres I’m sure.”
He said the flooding will be an economic hardship on some farmers counting on the crop. The flooding will likely reduce yields in some fields and may kill the crop in other fields, depending on how long the water stays on the fields. Additionally, all the money farmers have invested in the crop could be lost.
In Prairie County Monday, March 24 Hank Chaney watched a mobile home floating down the rain-swollen White River. Chaney, county Extension agent with the University of Arkansas Division of Agriculture, said other homeowners were watching water creep closer to their homes.
Some of the county’s farmers are upset and worried that if the water doesn’t come down fast enough, they’ll be in trouble on their wheat contract, Chaney said. “The price looks so good, and they were hoping to sell at that price, but if the water doesn’t come off soon enough, they’ll have trouble coming up with the wheat to fulfill their contract obligations.
“Last year, we had a freeze, and now we have flooding,” Chaney said.
Jackson County farmers are in the same situation.
“I’ve gotten several calls this morning and last week from farmers wanting to know how many days water can stand on wheat before their wheat is seriously hurt or destroyed,” said Randy Chlapecka, Jackson County Extension agent. He said it’s hard to give them an answer because there are so many variables involved.
He said several thousand acres of wheat are under water along the White River.
Chlapecka figures if water has only been standing on wheat two or three days, the wheat will probably recover. Other wheat has been covered four to six days, “and we don’t expect good things.”
Besides the prospect of a crop loss or yield losses, farmers have considerable money tied up in their crops. In the fall, they spent money on pre-plant fertilizer, seed and land preparation. Most farmers have already applied at least half of their spring nitrogen fertilizer.
“There was a lot optimism at planting because of high commodity prices,” Chlapecka said. Now, instead of a profitable crop, he said, they’re looking at substantial losses.
“I’m sure we’ll get through it. You know resilient farmers are,” he said.
Woodruff County Agent Eugene Terhune says farmers face an additional problem.
“Even when the water goes down, there’s so much debris that has floated over those fields that it’ll take farmers a lot of work to get fields ready to plant soybeans and other crops,” he said.
For more information about flooding and wheat production, contact your county Extension agent. The Cooperative Extension Service is part of the U of A Division of Agriculture.
Technorati Tags: wheat, famine, recession
Equity Loans as Next Round in Credit Crisis -
From the New York Times
Little by little, millions of Americans surrendered equity in their homes in recent years. Lulled by good times, they borrowed — sometimes heavily — against the roofs over their heads.Now the bill is coming due. As the housing market spirals downward, home equity loans, which turn home sweet home into cash sweet cash, are becoming the next flash point in the mortgage crisis.
Americans owe a staggering $1.1 trillion on home equity loans — and banks are increasingly worried they may not get some of that money back.
To get it, many lenders are taking the extraordinary step of preventing some people from selling their homes or refinancing their mortgages unless they pay off all or part of their home equity loans first. In the past, when home prices were not falling, lenders did not resort to these measures.
Such tactics are impeding efforts by policy makers to help struggling homeowners get easier terms on their mortgages and stem the rising tide of foreclosures. But at a time when each day seems to bring more bad news for the financial industry, lenders defend the hard-nosed maneuvers as a way to keep their own losses from deepening.
Technorati Tags: Home Equity, recession
Autopsies: Iowa Family Beaten to Death
From The Associated Press
A mother and her four children found dead in their Iowa City home were beaten to death, apparently by the father, authorities said Wednesday after autopsy results were released.Sheryl Sueppel, 42, and the children died of injuries to their upper torsos and heads, Iowa City police said. Two baseball bats found in the home appear to have been used, police said.
Police believe the woman’s husband, former bank executive Steven Sueppel, killed her and the children Sunday night or Monday. He had been charged with embezzlement, and his body was found in the wreckage of a car crash Monday.
Investigators say they believe he killed his wife, then tried to kill himself and the children by asphyxiating them with carbon monoxide in the garage. When that failed, he killed the children one by one.
Technorati Tags: Steven Sueppel, Hills Bank & Trust
Threat to millions as food aid scheme runs out of money - World Politics, World -
I hope people are paying attention, preparing accordingly, and are not too late. If you haven’t done so yet, acquire tangible assets, such as those mentioned in this article.
From the Independent.co.uk
Faced with the dramatically spiralling costs of wheat, rice and corn, the World Food Programme has made an unprecedented appeal for at least $500m (£250m) to help it continue supplying food aid to 73 million needy people this year.Josette Sheeran, the organisation’s executive director, told journalists yesterday that this was the first time in its history that the WFP had appealed for funds, not because of a crisis caused by famine or war but because of market conditions. And she warned that if extra resources were not received before the beginning of May, food rations would have to be cut.
“This is the new face of hunger,” she said. “People are simply being priced out of food markets. It’s the first time we have been hit by a dramatic market surprise. We have never before had a situation where aggressive rises in food prices keep pricing our operations out of our reach.”
Technorati Tags: famine, wheat, corn, rice, World Food Programme
US shares fall as recession fears reinforced
Via FT.com / Markets
Wall Street stocks fell in early trading on Wednesday after new data reinforced impressions that the broader US economy faces the prospects of a significant downturn.Durable goods orders in February unexpectedly fell 1.7 per cent - and by 2.6 per cent excluding volatile orders for transport equipment - according to the Commerce Department.Wall Street shrugs off weak economic data - Mar-25
Financials pace Asian market gains - Mar-25That follows a 4.7 per cent decline in January and suggests that businesses are significantly cutting back on equipment purchases as fears of a recession increase.
John Ryding, chief US economist at Bear Stearns, said: “This weaker than expected report points to declining capital spending in the first quarter, falling orders, and a significant pickup in inventories in relation to sales. This is another report that has a strong recessionary feel about it.”
Technorati Tags: economics, recession, depression
Four largest US banks’ outlooks slashed-Oppenheimer
Full Story at Reuters
The earnings outlooks for the four largest U.S. banks have been slashed by Oppenheimer & Co analyst Meredith Whitney, who said there is “no clear end in sight” to downward pressure on the sector’s profits.In a report late Tuesday, Whitney said Citigroup Inc (C.N: Quote, Profile, Research), the largest U.S. bank by assets, might lose $1.15 per share in the first quarter, four times her prior forecast for a 28 cents per share loss. She expects the bank to lose 15 cents per share in 2008, after earlier seeing profit of 75 cents per share.
Whitney in October correctly predicted that Citigroup would cut its dividend and raise $30 billion of capital.
Technorati Tags: durable goods, economics, recession, depression
Orders for Durable Goods in U.S. Unexpectedly Fell
Read the Full Article at Bloomberg.com
Orders for U.S. durable goods unexpectedly fell in February, led by the biggest slump ever in demand for machinery that indicates companies are becoming more reluctant to invest as the economy heads into a recession.The 1.7 percent drop followed a 4.7 percent decrease in the prior month, the Commerce Department said today in Washington. Excluding orders for transportation equipment, which tend to be volatile, bookings fell 2.6 percent, the most since January 2007.
Businesses are cutting back on equipment purchases as the biggest housing downturn in a quarter century hurts sales, and rising fuel costs erode profit. Improving demand from overseas is the only thing preventing manufacturing from declining even more.
Technorati Tags: durable goods, economics, recession, depression
Concern for Iceland grows after rate rise
Read the full article at FT.com / World
Fears that Iceland could be the first country to fall victim of the global financial turmoil grew on Tuesday when its central bank abruptly increased interest rates 1.25 percentage points to 15 per cent in an attempt to restore confidence in its struggling currency and stave off a full-blown economic crisis.The bank said “deteriorating financial conditions in global markets” had contributed to the emergency move. Confidence in the krona, Iceland’s currency, has been shattered this year because of perceived economic imbalances in the economy and fears the banking sector is in danger of collapse. The krona has weakened by 22 per cent against the euro so far this year.
Technorati Tags: Iceland, Interest Rates
Hoarding by banks stokes fears on credit crisis
From FT.com / World
Hoarding by banks stokes fears on credit crisisBy Chris Giles in London and James Politi in Washington
Published: March 25 2008 15:10 | Last updated: March 25 2008 20:36
Central banks’ efforts to ease strains in the money markets are failing to stop financial institutions from hoarding cash, stoking fears that the recent respite in equity markets may not signal the end of the credit crisis.
Banks’ borrowing costs – a sign of their willingness to lend to each other – in the US, eurozone and the UK rose again even after the Federal Reserve’s unprecedented activity in lending to retail and investment banks against weaker than usual collateral and similar action in Europe.
Technorati Tags: Hoarding, central bank
Patriot Act haunts Google service
Google Inc. is a year into its ground-shifting strategy to change the way people communicate and work.
But the initiative to reinvent the way that people use software is running headlong into another new phenomenon of the information technology age: the unprecedented powers of security officials in the United States to conduct surveillance on communications.
US consumer confidence at five-year low
Via FT.com / World
US consumer confidence tumbled to a five-year low in March, disappointing economists and raising fears that the American economy could be heading into a deep recession.The Conference Board’s confidence index fell from 76.4 in February 64.5 this month, compared with economists’ expectations of a much lighter drop to about 74, as US consumers fretted over the deteriorating labour market and higher food and energy prices.
Technorati Tags: recession, depression, consumer confidence
Wheat, Soybeans Advance on Supply Risk; Gold Rallies on Dollar
Wheat, corn and soybeans rose for a second day on speculation demand for grains in food and fuel will outstrip supply as poor weather cuts U.S. crop yields.Gold rebounded from the biggest weekly drop in 25 years as the dollar gave up some recent gains, and zinc rallied the most in a month. Crude oil fell for a fourth day on concern a U.S.-led slowdown in the global economy will curb demand. Corn and soybeans may keep rising because output is lagging behind demand, said Morgan Stanley, the second-largest U.S. securities firm.
“U.S. production in the near term is inadequate to meet growing ethanol and export demand,” Morgan Stanley analysts led by New York-based Hussein Allidina, said in a report e-mailed today. The fundamentals are “very constructive,” he said.
Wheat for May delivery rose as much as 28 cents, or 2.8 percent, to $10.48 a bushel in Chicago, and traded at $10.46 at 10:23 a.m. London time. The price has more than doubled in the past year even after a 17 percent decline last week.
Commodities are posting their seventh year of gains on demand led by China and disrupted supplies of metals and crops. The UBS Bloomberg Constant Maturity Commodity Index of 26 commodities gained 30 percent in the past year even after an 8 percent plunge last week.
Technorati Tags: Wheat, corn , soybeans, gold, economics, famine, recession
Gov’t to examine swings in crop futures
Via Business Week
Costlier corn flakes, pricier pizzas and painful pump fill-ups share more than top billing among consumers’ worries.They’re all riding a roller coaster of commodity market prices, where peaks are unusually high. Like oil futures, agricultural futures have experienced dramatic highs and lows in recent months as Wall Street investors flock to commodities for protection from the falling dollar and slumping stocks.
But the ups and downs in futures prices are giving grain sellers and farmers financial vertigo. Instead of finding predictable prices for wheat, corn and other crops in futures markets, they’re getting daily price jolts and no refuge from uncertainty.
That has prompted government regulators to examine what forces, if any, have thrown the markets off balance.
Technorati Tags: famine, wheat, economics, recession
SED Outbreak in China Threatens 4.83 Million Hectares of Wheat
Resource Investor - Softs - SED Outbreak in China Threatens 4.83 Million Hectares of Wheat
SED Outbreak in China Threatens 4.83 Million Hectares of WheatBy Interfax-China
24 Mar 2008 at 10:34 AM GMT-04:00SHANGHAI (Interfax-China) — An outbreak of sharp eyespot disease (SED), which affects cereals, is threatening 72.46 million mu (4.83 million hectares) of wheat in China’s major producing regions, according to local agricultural authorities.
SED might erode the wheat output by 10% to 20%, while a more serious epidemic could cut output by as much as 50%, officials from the Henan Oil and Grain Product Quality Inspection Center told Interfax. “As it is still the early growth stage for wheat, the impact on output might be reduced, although wheat quality may be downgraded,” an official from the center said.
Huang Junfei, a senior commodity analyst with Changjiang Futures, believes SED may well erode wheat output by around 5% on the 4.8 million affected hectares. As there are still a few months before the harvest, good farm work may be able to make up the losses.
The outbreak is being blamed on remnants of the disease from last year, coupled with favourable conditions, including plentiful water supplies in some regions and weakened resistance caused by a cold snap earlier this year.
Agricultural authorities caution that the peak season for SED normally lasts from mid and late March until mid April.
China’s wheat cultivation in 2008 is expected to stay flat at around 23 million hectares with output expected to top 100 million tonnes.
Below is a table specifying SED outbreaks in major wheat producing regions by March 10.
Commentary
A batch of negative news is coming for China’s 2008 wheat crop in 2008 with parts of Henan and Hebei reported serious drought while the Wheat Sharp Eyespot Disease is threatening Hennan, Shandong, Jiangsu, Anhui, Hubei and Shanxi.
Some unexpected events, like the January snowfall and cold snap, might affect wheat market fundamentals - considering China’s grain supply is already at a fine balance.
The Vultures are Circling the Corpse
It is not surprising, although rather sad and pathetic, to see that the average lacks basic financial wisdom, and has to resort to dealing with vultures such as these cash advance businesses.
When people are taught to consume they naturally are not taught to save money, live within their means, balance their accounts, and generally be good stewards, and so they end up in situations like the following. Blind consumerism and stewardship are polar opposites. I can imagine at some point that these cash advance places will be stormed by angry customers or firebombed in the night, but let’s hope that things never get that bad.
Via Reuters
As hundreds of thousands of American home owners fall behind on their mortgage payments, more people are turning to short-term loans with sky-high interest rates just to get by.While hard figures are hard to come by, evidence from nonprofit credit and mortgage counselors suggests that the number of people using these so-called “pay day loans” is growing as the U.S. housing crisis deepens, a negative sign for economic recovery.
“We’re hearing from around the country that many folks are buried deep in pay day loan debts as well as struggling with their mortgage payments,” said Uriah King, a policy associate at the Center for Responsible Lending (CRL).
Long Term Storage Shelf Life
Food New “Life Sustaining” Shelf-Life
Estimates (In Years)Wheat 30+ White rice 30+ Corn 30+ Sugar 30+ Pinto beans 30 Apple slices 30 Macaroni 30 Rolled oats 30 Potato flakes 30 Powdered milk 20 Carrots 20
72 hour kit (Bug Out Bag)
LDS 72 Hour Kit, modified. This is a list of items to store in a 72 hour kit so a family can be prepared in case of an emergency.
Directions: Print this list and check off each item that has been put into your 72 hour kit.
72 Hour Kit: PDF File (small)
Food and Water
(A three day supply of food and water, per person, when no refrigeration or cooking is available)
- Protein/Granola Bars
- Trail Mix/Dried Fruit
- Crackers/Cereals (for munching)
- Canned
Tuna, Beans, Turkey, Beef, Vienna Sausages, etc - Canned Juice
- Candy/Gum
- Water (1 Gallon/4 Liters Per Person)
Bedding and Clothing
- Change of Clothing (short and long sleeved shirts, pants, jackets, socks, etc.)
- Undergarments
- Rain Coat/Poncho
- Blankets and Emergency Heat Blanks (that keep in warmth)
- Cloth Sheet
- Plastic Sheet
Fuel and Light
- Battery Lighting (Flashlights, Lamps, etc.) Don’t forget batteries!
- Extra Batteries
- Flares
- Candles
- Lighter
- Water-Proof Matches
Equipment
- Can Opener
- Dishes/Utensils
- Shovel
- Radio (with batteries!)
- Pen and Paper
- Axe
- Pocket Knife
- Rope
Personal Supplies and Medication
- First Aid Supplies
- Toiletries
(roll of toilet paper- remove the center tube to easily flatten into a
zip-lock bag, feminine hygiene, folding brush, etc.) - Cleaning Supplies (mini hand sanitizer, soap, shampoo, dish soap, etc.)
- Immunizations Up-to Date
- Medication (Acetaminophen, Ibuprofen, children’s medication etc.)
- Prescription Medication (for 3 days)
Personal Documents and Money
(Place these items in a water-proof container!)
- Scriptures
- Legal Documents (Birth/Marriage Certificates, Wills, Passports, Contracts, etc)
- Insurance Policies
- Cash
- Pre-Paid Phone or Phone Cards
Miscellaneous
- Bag(s) to put 72 Hour Kit items in (such as duffel bags or back packs, which work great) Make sure you can lift/carry it!
- Infant Needs (if applicable)
Notes:
- Update
your 72 Hour Kit every six months (put a note in your calendar/planner)
to make sure that: all food, water, and medication is fresh and has not
expired; clothing fits; personal documents and credit cards are up to
date; and batteries are charged. - Small toys/games are important too as they will provide some comfort and entertainment during a stressful time.
- Older children can be responsible for their own pack of items/clothes too.
- You can include any other items in your 72 Hour Kit that you feel are necessary for your family’s survival.
-
Print Resources
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Katadyn Water Filters
