8.14.2009

grain, drought and systemic risk

Excerpt:

An interesting sidelight to this is that Goldman Sachs, the only surviving investment house in the US with a trillion dollars in assets, just became a bank and is expanding their operations in Salt Lake City, Utah. (Goldman growing in Utah.) Many people wonder why they would do that. However, all the cropland in that area is irrigated making that region drought-proof. Also there's not much of a population there to freak out as will happen within 20 miles of the coasts. The way I know about this is that for thirty years I was a grain trader and feed ingredient buyer for several large US agribusinesses whose business it is to know about and follow closely these sorts of things. All of the statistics that prove what I said is correct are freely available on the internet but 99.99% of all people are not interested in where their food comes from or how much of it is out there. Strange since that's the only thing they really need to survive.

read more @ charles hugh smith

No comments: