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Strategies & Market Trends : Mish's Global Economic Trend Analysis

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To: Knighty Tin who wrote (17780)12/6/2004 12:54:57 PM
From: mishedlo  Read Replies (2) of 116555
 
KT I emailed that post on grains o heinz
Message 20831257

here is his reply:

well, it's true - just as with all the other commodities, China is now the biggest importer of food stuffs...and that will definitely have an effect on prices. we've already had one China inspired rally in the grains, but there's more to come imo.

btw., while this increasing economical interdependence appears to ensure peace, history suggests otherwise. the last period that has seen a similarly significant expansion of world trade was the turn of the century (19th to 20th) - WW1 soon followed. increasing competition for dwindling basic resources follows in the wake of the expansion in trade - and becomes the bone of contention eventually leading to war.
one could argue that the war for oil has already begun actually.

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