Deflation news

[AtW]

Pork price rises drive up Chinese inflation

China's inflation rate stubbornly continued to rise last month, with consumer prices up 6.5pc from a year earlier, a three-year high.



The rise, which came after a reading of 6.4pc in June, was driven by a rapid increase in the price of pork, which accounts for almost two-thirds of the country's meat consumption.

Pork prices have shot up 57pc so far this year because of rising feed costs. The Chinese government has even has to dip into its strategic pork reserves in order to calm the market.

However, Chinese pig farmers have responded by upping their litters and prices are now expected to soften towards the end of the year. Some observers have suggested there could even be a glut.

More from the source: Pork price rises drive up Chinese inflation - Telegraph

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AtW's comment: dirty schweines!

[PAH]

It will only continue while the yanks (and no doubt BoE will follow) intend keeping interest rates low for the foreseeable.

BBC News - Federal Reserve expects not to raise rates until 2013


No point saving at pitiful rates when you can buy some pigs and capitalise on inflation while wages are savings are deflating.

Trouble with buying pigs is it takes bottle to convert them into bacon butties. I couldn't do it. I'd end up with a field full of pets.