Food prices worldwide have jumped due to unusual weather patterns. Prices jumped 6% in July. The United Nation’s Food and Agriculture Organization food price index measures price changes for a basket of food including cereals, dairy and meat. The July index, while higher, is still below the all-time record in February 2011.

The FAO released a report for July when they normally avoid issuing a report. The given reason was the “exceptional market conditions” that the drought in the USA, excessive rains in Brazil and production problems in Russia have caused in the world supply. Continue reading →