The prices for beef, pork, chicken and milk could double the overall pace of food inflation next year, according to a Bloomberg article. Quoting Michael Swanson, a senior economist at Wells Fargo & Co., the article says that demand will increase as economies recover, and short supplies of meat and dairy products will lead to retail prices jumping as much as 6 percent.
The article also cites a report from Goldman Sachs Group Inc., projecting that live-cattle futures will increase over the next year by the most since 1978, jumping 32 percent from current levels to reach $110 per hundredweight by December, 2010. The same report projects that hog futures will rally 22 percent during the same period to reach 80 cents a pound.
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