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Wal-Mart US CEO To America: "Prepare For Serious Inflation"

Tyler Durden's picture


To those who think that buying food in the corner deli is becoming a luxury, we have five words: you ain't seen nuthin' yet. U.S. consumers face "serious" inflation in the months ahead for
clothing, food and other products, the head of Wal-Mart's U.S.
operations warned Wednesday talking to USA Today. And if Wal-Mart which is at the very bottom of commoditized consumer retail, and at the very peak of avoiding reexporting of US inflation by way of China is concerned, it may be time to panic, or at least cancel those plane tickets to Zimbabwe, which is soon coming to us.

The world's largest retailer is working with suppliers to minimize the effect of cost increases and believes its low-cost business model will position it better than its competitors.

Still, inflation is "going to be serious," Wal-Mart U.S. CEO Bill Simon said during a meeting with USA TODAY's editorial board. "We're seeing cost increases starting to come through at a pretty rapid rate."

Along with steep increases in raw material costs, John Long, a retail strategist at Kurt Salmon, says labor costs in China and fuel costs for transportation are weighing heavily on retailers. He predicts prices will start increasing at all retailers in June.

"Every single retailer has and is paying more for the items they sell, and retailers will be passing some of these costs along," Long says. "Except for fuel costs, U.S. consumers haven't seen much in the way of inflation for almost a decade, so a broad-based increase in prices will be unprecedented in recent memory."

Consumer prices — or the consumer price index — rose 0.5% in February, the most since mid-2009, largely because of surging food and gasoline prices. Core inflation, which excludes volatile food and energy costs, rose a more modest 0.2%, though that still exceeded estimates.

Add to this the shock that was today's grains report, and the summer is about to seem like straight out of Harare.

Farmers will struggle to replenish rapidly shrinking U.S. grain stocks this year, despite plans to sow the most land to corn since World War Two and near-record acreage to soybeans, two U.S. government reports showed on Thursday.

Chicago corn prices surged their daily limit, while soybeans and wheat jumped more than 3 percent as traders looked past higher-than-expected figures in the Department of Agriculture's annual planting survey to focus on inventories, which fell much more than forecast.

The report underscored the fact that U.S. farmers are now reaching the limits of arable land in the world's biggest crop exporter, with increased corn sowing coming at the expense of soybeans and cotton. The spring wheat crop, while among the biggest in decades, could yet shrink.

Here is why some grain traders made millions today:

 This year's spring planting season in the world's biggest crop exporter is being watched more closely than ever by countries fearful that further increases in already record-high food prices could stoke unrest.

An analysis of the data based on the acreage estimates and historical yields suggested that the corn harvest could be the largest ever and soybeans the third-largest.

But that would still leave corn inventories at the end of the 2011/12 season at the equivalent of just three-weeks' supply, and soybeans would dwindle to scarcely 10 days' cover. Analysts say prices must rise high enough to reduce demand.

"This turns us back to having to ration the corn," said Charlie Sernatinger, analyst at ABN Amro.

May corn jumped 30 cents to $6.93-1/4 a bushel, hitting the daily exchange limit; options trading suggested further gains to more than $7.15, near the post-2008 peak of $7.35 hit on March 4. Soybeans jumped to over $14.18 and wheat recouped part of its 20 percent slump since mid-February.

As we expected over the weekend, the commodity correction is over, and absent another nuclear explosion (which still will be priced in within minutes) commodities have only one way to from here.


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Thu, 03/31/2011 - 12:34 | 1121745 DaveyJones
DaveyJones's picture

either that or really small containers

Thu, 03/31/2011 - 12:40 | 1121765 Cash_is_Trash
Cash_is_Trash's picture

Why isn't this man Chairman of the Fed? Or for that matter, anybody with basic understanding of economics.

Thu, 03/31/2011 - 12:48 | 1121794 HarryWanqer
HarryWanqer's picture

The Chinese will find a way.  Dog skins will absorb the cotton shock.

Thu, 03/31/2011 - 12:53 | 1121836 Spastica Rex
Spastica Rex's picture

I see what you did there. Clever.

Thu, 03/31/2011 - 14:31 | 1122324 asdasmos
asdasmos's picture

Marc Faber Bloomberg Interview - March 30 2011


Thu, 03/31/2011 - 15:42 | 1122582 baby_BLYTHE
baby_BLYTHE's picture

luv Marc, thanks ;)

Thu, 03/31/2011 - 19:21 | 1123307 Seer
Seer's picture

Faber is little different than the rest... It's all about Ponzi, and Marc speaks (43 second mark) "sustained economic growth," which IS Ponzi: no such thing as sustainable GROWTH on a finite planet!

Give me 5 minutes with people like Faber and I'll have them confessing that they're no more than shills looking to scam folks... (NOTE: that he likes gold and farm land isn't the point- I do as well, but unlike he and most others, I don't look to profit off them by spewing BS).

Thu, 03/31/2011 - 12:58 | 1121845 the mad hatter
the mad hatter's picture

Wal-Mart CEO to America: "Get ready to bend over at the cash register because Uncle Sam will take your dollars while Uncle Ben will water down the dollars you already have. Don't shoot the messenger."


Price everything in gold or silver and you will see what rapid monetary base expansion does to prices.

Thu, 03/31/2011 - 13:06 | 1121905 jus_lite_reading
jus_lite_reading's picture

BUY all the gold and silver you can. I'm at 80% of my asset allocation in PMs. Hell yes. I just sit back and watch the whole world crumble!

Now in JAPAN some crazy people tried to drive their car through the FUKUSHIMA PLANT!!! WTF?!

Crazy nuts! If they don't die now from the radiation they'll get shot! WTF?!

Thu, 03/31/2011 - 13:20 | 1121963 Rastadamus
Rastadamus's picture

100% PM's here. Trying to cushion Babylon's fall. Gold is known to be soft.

Thu, 03/31/2011 - 13:22 | 1121982 Thomas
Thomas's picture

I am 60%. Some days it feels like I am 40% lite and some days it feels like I am 60% too long. These douche bags at the Fed are sure making it hard.

Thu, 03/31/2011 - 13:47 | 1122126 DoChenRollingBearing
DoChenRollingBearing's picture

I am at 10%, it has taken me a long time to get there.  But, upon my return, 11% is my next stop.  The bulk of what I have is in gold, but I have silver, platinum and a little palladium too.

I noticed premiums seem to be picking up ( has a nice handy little widget showing metal value vs. eBay prices, scroll to the bottom of their page).

¨Paper food¨ ETFs like DBA and JJG can help you make some money as food prices go up.  But, they are paper.  They are also diversification, and diversification is one of my favorite words.

Thu, 03/31/2011 - 14:15 | 1122180 GoinFawr
GoinFawr's picture

DCRB I thought you dumped your silver? Or did you just mean the 'proxies'?

On Zimbabwe: 

Thu, 03/31/2011 - 13:58 | 1122190 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

So can large cap equities/bonds.  This is a financial corporate takeover of the economic system afterall.

Thu, 03/31/2011 - 15:25 | 1122519 SilverRhino
SilverRhino's picture

Very nice little widget.   half dollar pieces are blown but ebay appears to be showing at least a 15% premium over current spot prices on everything.


Thu, 03/31/2011 - 15:44 | 1122585 DosZap
DosZap's picture

eGay sucks.

Thu, 03/31/2011 - 15:46 | 1122593 DosZap
DosZap's picture

eGay sucks.

Thu, 03/31/2011 - 15:50 | 1122605 DoChenRollingBearing
DoChenRollingBearing's picture

But the / eGay widget is good!

eGay sucks...  LOL.  Good one!

Thu, 03/31/2011 - 16:13 | 1122699 RockyRacoon
RockyRacoon's picture

Excellent source there, DCRB!  Look at the links "eBay" and copy the link locations to use in an eBay page search routine.   The search terms are excellent.

Example:  Search for Silver Eagles:

Silver Eagle* (1oz*, "1 oz*", 1ounc*, "1 ounc*", 1, "1", coin*) -(gold, black, pound, "1", mark*, gram*, "1 10*", mexico, reich*, morgan)

Or, just use the entire link in your search window.

Thu, 03/31/2011 - 16:06 | 1122666 RockyRacoon
RockyRacoon's picture

eBay been velly, velly good to me.  Both buying and selling.  Some seller has to be at the low end of that "average" eBay pricing.  All ya gotta do is find the good ones.  I have.

Thu, 03/31/2011 - 13:49 | 1122144 Bananamerican
Bananamerican's picture

"I am 60%. Some days it feels like I am 40% lite and some days it feels like I am 60% too long. These douche bags at the Fed are sure making it hard"


Thu, 03/31/2011 - 13:37 | 1122060 Robot Traders Mom
Robot Traders Mom's picture

Only 80%? I hope your other 20% is in guns, ammo, food, and water.

You either believe in the truth and hold 100% or you hold and aything less and are trying to make a quick buck.

Thu, 03/31/2011 - 13:51 | 1122156 DoChenRollingBearing
DoChenRollingBearing's picture

Nooooooo, Robo-Mommy!

I too believe we are headed for real problems like you and above posters.  10% is OK, not great but OK.  11% will be better, 12% better yet.  There is value in diversification...  I have typically been a bad speculator or predictor of the future.  100% in ANYTHING seems unwise, at least to a Bearing.

You are quite correct to be armed up and have food and water stocked up, I´m there too, dude(tte)!

Thu, 03/31/2011 - 14:29 | 1122308 mtomato2
mtomato2's picture

I'm seriously beginning to wonder, Bearing Bud.  Some days I think we are just going to bump along the bottom for the rest of eternity.  And I don't want that.  Like most posters here, I want a crash and a renewal.  I want truth.  I want equal justice.  The American Way?  I don't even know what that means anymore.

Thu, 03/31/2011 - 14:45 | 1122371 trav7777
trav7777's picture

you don't want a crash.  Trust me.

Look at the soviet long did the shit suck real bad?  Are they "back" yet?

Thu, 03/31/2011 - 15:15 | 1122476 tmosley
tmosley's picture

To be fair, they were never really "there" to begin with.

Argentina might be a better example for your metaphor, as they have never regained their first world status.

Thu, 03/31/2011 - 16:22 | 1122737 WaterWings
WaterWings's picture

Yes, I prefer a Police State, a la Orwell - I don't need all my teeth and spleen anyway. I love international banks that privatize gains and socialize losses. I *heart* corporations that pay slave wages; poison the environment and our bodies. Wrap your arms around the military-industrial complex: Bombs, not weddings! Underage sex slaves, not wives! Heroin addictions, not self-worth!

Soon, I won't have to think anymore!

Thu, 03/31/2011 - 18:35 | 1123168 DaveyJones
DaveyJones's picture


Fri, 04/01/2011 - 01:47 | 1124210 RafterManFMJ
RafterManFMJ's picture

You need to drink more fluoridated water.  You'll find it...calming.

Thu, 03/31/2011 - 15:34 | 1122545 Triggernometry
Triggernometry's picture

40% PM's
15% water
15% food
15% fuel
10% Cu coated Pb
5% Lead Delivery Devices

Thu, 03/31/2011 - 15:43 | 1122583 SilverBoy
SilverBoy's picture

Your SHTF Portfolio is well diversified.  Me Likes

Thu, 03/31/2011 - 15:50 | 1122604 tmosley
tmosley's picture

That is either a LOT of water, or you are using a slingshot for delivering your lead.


Fri, 04/01/2011 - 03:35 | 1124305 malek
malek's picture

30% PM (exactly on my target level), but overall 90% out of the USD.

Thu, 03/31/2011 - 13:12 | 1121930 traderjoe
traderjoe's picture


The Fed is performing exactly as designed: (1) create inflation to skim wealth from the citizenry; (2) lower interest rates to eliminate other capital creation competition than bank loans; and (3) consolidate economic control by the money center banks. Their plan was brilliant and well-executed.

Thu, 03/31/2011 - 14:02 | 1122204 NotApplicable
NotApplicable's picture

Your second point is one I rarely see discussed, and why I believe that after the coming shake-out, the Fed, IMF, et al., will embark upon pushing ZIRP all the out to the end of the yield curve, basically turning lending into an activity that only pays off in political currency.

Marx would be proud.

Thu, 03/31/2011 - 14:33 | 1122339 traderjoe
traderjoe's picture

In fractional reserve banking, banks create money out of thin air. Therefore, any positive interest rate is essentially an infinite gross margin. They need some positive interest rate tho. That's what makes governments such great borrowers for the banks. Through regulatory capture, political influence, etc. banks essentially control their own customer(s). They can (relatively) prevent defaults, unlike those pesky homeowners and commercial building owners.

Thu, 03/31/2011 - 14:59 | 1122408 Oh regional Indian
Oh regional Indian's picture

Tj, regulatroy capture about captures the length and breadth of it.

Make the law, make the money, kill any real competition, barriers barriers barriers.

Simple game if you have regulatory capture.


Thu, 03/31/2011 - 15:11 | 1122461 NotApplicable
NotApplicable's picture

They will only need a positive rate until the day they are nationalized, completing the circle of fascism (otherwise known as a choke-hold). Between Benron and the IMF, they will hold title to all of the world's wealth, while their liabilities are nothing but promises of promises to pay.

The future I see will not allow for such "evil" as profit, freedom or any individual function that threatens the alleged "Greater Good." I agree with your views from a market perspective, but the thing is, I don't believe there's going to be any markets in our future (especially financial, as they are already insolvent). As you stated above, the plan has been well executed.

Thu, 03/31/2011 - 14:05 | 1122206 Rinzler
Rinzler's picture


No surprises here.

Thu, 03/31/2011 - 13:24 | 1121985 I am Jobe
I am Jobe's picture

Logic and Common Sense is not soemthing that is required to be in the GOVT. If you have a degree from harvard and can BS your way, all that matters. People with skills need not apply to GOVT jobs.

Thu, 03/31/2011 - 18:09 | 1123090 dizzyfingers
dizzyfingers's picture

That idea is too intelligent for this country.

Government and the fed are where people go who can't get real jobs because they're too stupid or too unemployable for other reasons.

Resist organized crime; vote for no one.

Thu, 03/31/2011 - 12:44 | 1121777 Cognitive Dissonance
Cognitive Dissonance's picture

When exactly did a half gallon of ice cream become 25% smaller and the price go up 35%? Maybe I blinked and missed the announcement.

Thu, 03/31/2011 - 12:48 | 1121795 Cash_is_Trash
Cash_is_Trash's picture

Cog, at the supermarkets here in Brazil, you could buy 1.5 litre boxes of juice for $4 dollars. Now the container is 0.75 litres for about $4.50 dollars.

Thu, 03/31/2011 - 12:49 | 1121806 Cognitive Dissonance
Cognitive Dissonance's picture

Switch to Ice Cream. :>)

Thu, 03/31/2011 - 12:50 | 1121810 TruthInSunshine
TruthInSunshine's picture

Or iPad.


Thu, 03/31/2011 - 12:52 | 1121830 Cash_is_Trash
Cash_is_Trash's picture

I hear that brushing your teeth reduces the sensation of hunger.

Perhaps there's an app for that!

Thu, 03/31/2011 - 12:56 | 1121852 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

If the Chinese had known that, they would not have used their plastic on rice!

Thu, 03/31/2011 - 13:04 | 1121900 Cash_is_Trash
Cash_is_Trash's picture

Silver, rather nano silver is now used in toothbrushes as a disinfectant.

For real:


Thu, 03/31/2011 - 13:12 | 1121928 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Fluoride is getting its ass handed to it.

Thu, 03/31/2011 - 15:17 | 1122484 Kobe Beef
Kobe Beef's picture

fluoride asked for it.

Thu, 03/31/2011 - 15:51 | 1122600 Sunshine n Lollipops
Sunshine n Lollipops's picture

'bout fuckin time.

Thu, 03/31/2011 - 12:52 | 1121817 Bay of Pigs
Bay of Pigs's picture

Twelve ounces is the new pound.

Thu, 03/31/2011 - 12:56 | 1121841 Cash_is_Trash
Cash_is_Trash's picture

McDonald's would start calling it the 'Three-Quarters of a Pounder'

Thu, 03/31/2011 - 13:07 | 1121908 countryboy42
countryboy42's picture

You mean the "Three-sixteenths of a pounder."

Thu, 03/31/2011 - 13:23 | 1121993 Thomas
Thomas's picture

It now takes only 1.5 hands to handle a Whopper.

Thu, 03/31/2011 - 14:31 | 1122319 mtomato2
mtomato2's picture

Royalle with Cheese...

Because of the metric system?

Because. Of. The. METRIC. System!!!

Thu, 03/31/2011 - 14:08 | 1122220 Abraham Snake
Abraham Snake's picture

It'll soon cost $7.50 and since the minimum wage isn't likely to go up any time soon, will have the street name 'Mickie D's 3/4 ass Pounder'.

Thu, 03/31/2011 - 14:09 | 1122228 NotApplicable
NotApplicable's picture

And we'll get the resurgence of the cry, "Where's the beef!"

Thu, 03/31/2011 - 15:30 | 1122533 Kobe Beef
Kobe Beef's picture


Thu, 03/31/2011 - 16:18 | 1122727 RockyRacoon
RockyRacoon's picture

Fits right in with Michelle's low-cal regimen.  You eat less, your ass gets smaller.

Thu, 03/31/2011 - 13:33 | 1122021 ThirdCoastSurfer
ThirdCoastSurfer's picture

Gives "Imperial" pound a new meaning! Back to Troy we go Ulysses!

Thu, 03/31/2011 - 12:54 | 1121829 Thisson
Thisson's picture

Vote with your feet.  Stop discretionary spending.  Buy PMs.

Thu, 03/31/2011 - 13:06 | 1121906 oddjob
oddjob's picture

I like you.

Thu, 03/31/2011 - 13:52 | 1122154 viahj
viahj's picture

vodka isn't discretionary, is it?  hope not.

Thu, 03/31/2011 - 13:56 | 1122177 DoChenRollingBearing
DoChenRollingBearing's picture

Stocking up on vodka is probably a smart idea.  Especially the big (1.5 liter) bottles.  A lawyer once called vodka ¨liquid oxycodone¨...

Thu, 03/31/2011 - 14:13 | 1122243 GoinFawr
GoinFawr's picture

stuff a rag in the neck and 'presto!', you have a 'russian baby bottle'.


Thu, 03/31/2011 - 14:14 | 1122238 The Axe
The Axe's picture

Vodka is but Scotch is not...howver the single malt is now a fucking luxury.

Thu, 03/31/2011 - 17:57 | 1123064 Bananamerican
Bananamerican's picture

start distillin' chillun'

Thu, 03/31/2011 - 23:39 | 1124000 StychoKiller
StychoKiller's picture

or Brewin':

Thu, 03/31/2011 - 13:02 | 1121873 ebworthen
ebworthen's picture


3 pints is a half-gallon silly, and 6 pints is a half-dozen because 12 pints is a dozen.

3/4's or a half-gallon is three times as much as nothing, and only 25% less than the 40% aerated cream you were buying before; AND it's better for your health so it's actually a great deal.

"King Size" candy bars now 10% smaller than the regular bar of 10 years ago - it is because we CARE about you.

This is why there are two-and-a-half chips in the bag that comes with your sandwich.

10 eggs is a "metric dozen" (coming soon to a store near you).


Thu, 03/31/2011 - 13:06 | 1121909 Cognitive Dissonance
Cognitive Dissonance's picture

This must be that "new" math my granddaughter was telling me about the other day. Teach them young to love their slavery and the world is a happier place for the slave masters.

Thu, 03/31/2011 - 15:30 | 1122537 WSMassiv
WSMassiv's picture

Wait wait wait... a girl said this?....(im not trying to be sexist.. but I rarely hear anyone speak like this, never mind them being a woman.)

Thu, 03/31/2011 - 13:06 | 1121912 falak pema
falak pema's picture

In Europe when they went from local currency to Euro, price of food in local markets went up instantaneously by 25-30 % by so called currency "translation" hikes. Not bad for countries with an annual official CPI of 1.5 to 2.0 %. Some scam.

Thu, 03/31/2011 - 13:10 | 1121921 Id fight Gandhi
Id fight Gandhi's picture

I miss the super size me days

Thu, 03/31/2011 - 15:02 | 1122423 Oh regional Indian
Oh regional Indian's picture

IFG, the population got supersized. That game is over.

No wait for Mickey D's to start selling discount electric wheel-chairs with extra-large seats.


Thu, 03/31/2011 - 17:57 | 1123073 Bananamerican
Bananamerican's picture

let them eat wheat grass shots

Thu, 03/31/2011 - 16:39 | 1122799 PhattyBuoy
PhattyBuoy's picture

Tinysize me, please.

Thu, 03/31/2011 - 16:41 | 1122810 In Fed We Trust
In Fed We Trust's picture

What about mud pires?

Is the cost of mud pies going to rise?

Thu, 03/31/2011 - 13:10 | 1121926 TruthInSunshine
TruthInSunshine's picture

oops, spoke too soon.

Apple says you only get an iPa now, not an iPad.

Thu, 03/31/2011 - 13:14 | 1121948 Cognitive Dissonance
Cognitive Dissonance's picture

Even then you wind up iGaging on your iPa.

Thu, 03/31/2011 - 18:03 | 1123085 Bananamerican
Bananamerican's picture

quit watching Lady Ga then

Thu, 03/31/2011 - 13:24 | 1121986 OldTrooper
OldTrooper's picture

When exactly did a half gallon of ice cream become 25% smaller and the price go up 35%? Maybe I blinked and missed the announcement.

Maybe the ice cream'sters just added sawdust to save costs.

Thu, 03/31/2011 - 14:03 | 1122209 Silver Dreamer
Silver Dreamer's picture

They should use Silicon Dioxide (sand).  It works for Taco Bell!

Thu, 03/31/2011 - 13:34 | 1122044 ThirdCoastSurfer
ThirdCoastSurfer's picture

The cost of pasteurization will soon abate as radiation will come included with purchase! 

Thu, 03/31/2011 - 15:54 | 1122626 DosZap
DosZap's picture


That crap has been going on for 2yrs.

A 16oz soft drink, now is 14, a 14oz is 12oz.

Veggies, and fruit is not sold by the bags, they are buy the pound or each.

Soon a 64oz od milk  or OJ, will be 48, and same price.

The REAL inflation rate if you account for getting raped at the stores is bare min 10%.Food is more like 25%.

Don't even checkl the beef and poultry, and pork.

You will just get pissed off.

Thu, 03/31/2011 - 17:36 | 1123017 aerojet
aerojet's picture

Two years?  Where the FUCK have you been?  It's been going on for my entire adult life and I'm almost 40!

Thu, 03/31/2011 - 18:05 | 1123093 dizzyfingers
dizzyfingers's picture

You still can afford ice cream?! Wow.

Thu, 03/31/2011 - 12:55 | 1121846 Turd Ferguson
Turd Ferguson's picture

You know, that Turd Ferguson guy is an idiot. What does he know? 

Thu, 03/31/2011 - 13:00 | 1121868 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Pshaw, yeah, Turd, he like, knows nothing.  I heard he has some blog now where he writes a bunch of gobbligook and draws squiggly lines around already squiiggly lines.  It will be best for you to ignore him. 

Thu, 03/31/2011 - 13:25 | 1122001 The Disappointed
The Disappointed's picture

Yeah, and he had this strange obsession with someone named Blythe...

Thu, 03/31/2011 - 13:33 | 1122023 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Oh yeah!  I remember that!  He was the only one talking about her, and then all of a sudden she became a household name....wait a second!

Thu, 03/31/2011 - 14:02 | 1122198 DoChenRollingBearing
DoChenRollingBearing's picture

He may have been talking about her first, but I believe only our beloved JonNadler has actually been thrashed by lovely (?) Blythe...

Thu, 03/31/2011 - 13:08 | 1121919 Dr. Richard Head
Dr. Richard Head's picture

If you aren't being carried on the network of CNBC you know nothing.  /sarc

SO what do you think of Cramer coming out in favor of silver?  Is this the old since everyone is now betting against Cramer's picks, lets put out a real pick and everyone will dismiss it schtick?

Thu, 03/31/2011 - 14:17 | 1122253 NotApplicable
NotApplicable's picture

My guess is they are doing future damage control so someday they can explain why silver has decoupled from gold once JPM gives up their game (or more accurately, the Treasury's).

Got to build up an alternative storyline in order to avert attention from the real cause and effect, don't you know.

Thu, 03/31/2011 - 14:20 | 1122271 Dr. Richard Head
Dr. Richard Head's picture

I don't know anymore.

By the way, whoever touched me junk - THANK YOU BABY.

Thu, 03/31/2011 - 23:56 | 1123542 PhattyBuoy
PhattyBuoy's picture

Is Turd "knee deep in Venezuela hookers ...", bitchez !

Thu, 03/31/2011 - 13:40 | 1122087 harshudeshpande
harshudeshpande's picture

He is just pissed off because manufacturing may come back to US.

If it really happens then WallMart loses its edge.

Thu, 03/31/2011 - 15:05 | 1122434 Oh regional Indian
Oh regional Indian's picture

Surely you jest Harsh. Never going to happen. It's gutted. Done. NAFTA+CHINA.

His biggest worry is demand destruction, even though, sitting at the huge bottom of the pyramid, Walmart has a ways to run yet.


Thu, 03/31/2011 - 15:54 | 1122623 tmosley
tmosley's picture

Neither NAFTA nor China are the issue here.  We killed our manufacturing base with regulations and taxation.  Drop the regulation and decrease the taxation (and commit to making those PERMANENT), and they will return in droves, and sprout anew.

Slave labor doesn't drive industry.  If it could, England and Europe never would have left that model, which is what they started with.  Industry is driven by capital and good incentives.  Currently we drive away our capital and replace it with perverse incentives.

Thu, 03/31/2011 - 18:12 | 1123108 Bananamerican
Bananamerican's picture

"We killed our manufacturing base with regulations...."

uh yea-uh!!, we need MORE micky D-Regalayshun...

let's start with Banks, then Nukes, then Big Pharma, then Big Ag, then Big Oil, then NatGas, oh wait....

Damnit Tmos, i forgot you bought the oligarchs hype on this subject....have to junk you and any fool, fool enough to regurgitate it....


I say we steal the Chi-com's model...You either manufacture HERE or fuck off



Thu, 03/31/2011 - 23:45 | 1124017 StychoKiller
StychoKiller's picture

Here's a thought:  Why don't you research just how much paperwork it takes to start your own business with just one measly employee, then get back to us on the virtues of Govt. Regulation(s)!

Thu, 03/31/2011 - 18:13 | 1123126 dizzyfingers
dizzyfingers's picture

THANK YOU!! So someone besides me has a memory.

The US could still be endlessly inventive and lead the world in new products but not under a socialist regime...that is, both parties, the demopublicans and the republicrats.

Thu, 03/31/2011 - 20:05 | 1123443 Seer
Seer's picture

Yeah, we have to return those FOUR jobs that are pushing the buttons on the automation machines!

And, we have to return all those jobs making Happy Meals toys!

Even IF, and that's a big IF, because, well, because I CAPITALIZED it... but all those NON-high wage jobs AIN'T going to allow folks in the US to actually buy shit when they're massively in DEBT!  The less money that the rest of the world has to foot the US debt the MORE that people in the US will have to shell out (to foot that debt, debt which cannot be repaid!).  Further, raw resource costs are going to go up!

But, you're probably one of those folks who thinks that there can be endless/perpetual growth on a finite planet- click your heals together...

Two dimensional thinking- FAIL!

Thu, 03/31/2011 - 15:40 | 1122567 espirit
espirit's picture

Yeah, but now we have to worry about being 'jacked outside the store as well as inside.

No winners either way.

Thu, 03/31/2011 - 13:41 | 1122094 harshudeshpande
harshudeshpande's picture

He is just pissed off because manufacturing may come back to US.

If it really happens then WallMart loses its edge.

Thu, 03/31/2011 - 14:13 | 1122236 SparkyvonBellagio
SparkyvonBellagio's picture


There may be plenty here, but prices will plummet when they outlaw FOOD to the rest of the World.

We'll just be fermenting our food into Fuel....
While the rest of the World starves.

I can see something like this playing out quickly.

Got Food/Water/Energy/Shelter/Guns/Ammo/Xfinity?

Thu, 03/31/2011 - 15:41 | 1122574 Oleander
Oleander's picture

Get locking gas caps. My cousins gas was syphoned last night. Trying to design a garden that discourages theft. I plan on canning a lot and I am not sharing it with dirty thieves.

Thu, 03/31/2011 - 23:47 | 1124026 StychoKiller
StychoKiller's picture

Beaver Traps, FTW!

Thu, 03/31/2011 - 14:47 | 1122377 Hugh G Rection
Hugh G Rection's picture

I'm about 20% in PMs. 


The other 80% is in commercial real estate, anyone have an opinion on the effect to commercial property, more specifically shopping centers?

Thu, 03/31/2011 - 16:35 | 1122792 Another Texan
Another Texan's picture

Im no expert, but I do build commercial retail buildings.  There are 2 basic trains of thought from where i sit. 

1. Majority of big box retailers (WM included) are stuck in a "build or die" scenario.  So the building must continue, coupled with this, the ever necessary revamp of retail space every 5-8 years to keep customers coming through the doors.

2. Glass Front retail is in a tough battle with the younger generations that are more comfortable buying online.  Retail is overbuilt due to the mid 2000's.  23sqft of space per person in the US. cite ICSC.

Forget all the problems about credit and upside down loans.  Thats a completly different issue. 

I lean more towards a #2 view.  #1 can only continue if the consumers keep buying with money they dont have.

Thu, 03/31/2011 - 16:49 | 1122847 DosZap
DosZap's picture

Get out while your still able, times wastin'.

Thu, 03/31/2011 - 15:01 | 1122427 Yardfarmer
Yardfarmer's picture

how's that onion patch growin', Davey?

Thu, 03/31/2011 - 12:37 | 1121746 Jay Gould Esq.
Jay Gould Esq.'s picture

Polyester pull-on pants price inflation, bitchez.

Thu, 03/31/2011 - 13:13 | 1121927 TomGa
TomGa's picture

If they can't get the shirt off your back, then....

Thu, 03/31/2011 - 13:37 | 1122048 Jay Gould Esq.
Jay Gould Esq.'s picture


I love women who embrace holiday spirit.

+ 1/clothing optional

Thu, 03/31/2011 - 13:13 | 1121934 TomGa
TomGa's picture

Explains why the ending corn inventories are low.  

Thu, 03/31/2011 - 13:52 | 1122159 Jay Gould Esq.
Jay Gould Esq.'s picture

Speaking of corn-fed, yes, friends, the image is indeed Kirstie Alley.

Thu, 03/31/2011 - 13:29 | 1122007 carbonmutant
carbonmutant's picture

Are Leisure suits coming back?

Thu, 03/31/2011 - 16:50 | 1122860 DosZap
DosZap's picture

Did they leave?.

Thu, 03/31/2011 - 12:35 | 1121748 A Man without Q...
A Man without Qualities's picture

Ben Bernanke - the man who finally found a way to get Americans to lose some weight...

Thu, 03/31/2011 - 12:55 | 1121851 dejapfc
dejapfc's picture


Thu, 03/31/2011 - 12:37 | 1121749 apeakunderthehood
apeakunderthehood's picture


Fed Speak... Gotta Know The Enemy



Enjoy the thoughts

Thu, 03/31/2011 - 14:50 | 1122382 crazyjsmith
crazyjsmith's picture

Demand destruction indeed.  I have asked this very question to many money managers when they talk about inflation.  What about demand destruction?  Inflation only occurs when their is demand.  They look at me like I am an alien.

Obviously demand for food will not go down, unless the population goes down....wait, is that another goal of theirs?

Thu, 03/31/2011 - 16:35 | 1122786 baby_BLYTHE
baby_BLYTHE's picture

that is because they are pricks. 

Usury is almost as bad as rape, IMHO...

People's lives get f*** with, family's ripped apart, marriages wrecked, people get depressed, suicidal, starve or worse...

Present MM excluded, this is Tyler's house I will respect.

Thu, 03/31/2011 - 20:10 | 1123481 Seer
Seer's picture

The human population IS a ponzi: sooner or later the music was going to stop; just because that's happening now we shouldn't be all so dumbfounded.  No conspiracy: everyone's just trying to make a buck at the Big Casino (that includes nearly everyone here- mirror!).  We really need to quick tossing rocks while living in glass houses...

Thu, 03/31/2011 - 12:35 | 1121751 somaplease
somaplease's picture

cats outta the bag!!

Thu, 03/31/2011 - 14:00 | 1122186 EvlTheCat
EvlTheCat's picture

....and into the McDonald's deep fryer!

Thu, 03/31/2011 - 12:36 | 1121753 Dolar in a vortex
Dolar in a vortex's picture

He needs to be called before Congress to testify on that! Heretic! Stone him!

Thu, 03/31/2011 - 12:38 | 1121756 TruthInSunshine
TruthInSunshine's picture

You can sell Americans down the river all day and night, but man, The Bernank...what were you thinking? had to go and mess with their corn, beer and prOn?



Thu, 03/31/2011 - 12:38 | 1121757 Josh Randall
Josh Randall's picture

So, paying more for cheap crap is coming ? Time to hit the garage and burgeoning estate sales (thank you radiation)

Thu, 03/31/2011 - 13:42 | 1122090 Kickaha
Kickaha's picture

I'm too old and too married to give a shit about fashion.  For years I have shopped at the local Salvation Army SuperStore.  One advantage of being old is that my contempories are beginning to croak, and the widows send their stuff to the Salvation Army.  A lot of this clothing still has price tags on it from last Christmas.

The only problem is that everybody else has now figured this out, perhaps by force in the absence of jobs.  

Prices for everything are up about 250% in the last six months.  You might be piling on too late with that shopping at garage sales idea.  Or maybe less people are dying, or maybe the widows are hoarding used clothing as an inflation hedge.

Thu, 03/31/2011 - 15:13 | 1122471 Josh Randall
Josh Randall's picture

Nice - I am pretty low key in the fashion department outside of work myself - but still haven't taken the "buy used" clothes dive yet. That being stated - I would buy a used TV, electronic equipment, or yard furniture as soon as look at ya! Which is a predominance of what these folks are dumping on the public at their stores

Thu, 03/31/2011 - 16:54 | 1122838 RockyRacoon
RockyRacoon's picture

Fret not, Josh, my man.   The thrift shops and Salivation Army scald the shit (literally) out of all that clothing before it goes on the rack.  Of course, the wino "volunteers" who press the stuff out -- that might be another story. 

All seriousness aside, I've worked in one for a while and there is no reason to worry about the cooties.   Just have the stuff cleaned once and you're mind will be at ease.  We used to toss all the common clothing and shoes into large pallet boxes which got picked up monthly by truck.  They ship the stuff overseas and make a nice buck letting all the 3rd world countries wear our cast-offs. They make it, ship it  here, we wear it once, and it gets shipped back to them to wear.   Hey, it's great!

You can pick up some really spiffy brand-name stuff at the stores if you learn the stocking cycles.  I know some antique, collectibles, and book dealers who go often to stock up on the really good stuff that sneaks in frequently.

Thu, 03/31/2011 - 14:27 | 1122305 NotApplicable
NotApplicable's picture

I've been telling people for years that given all of our imports throughout the last boom, collectively, we have as much crap here as we need. Which means as import costs rise, so does the value of the existing crap. Crap that people no longer need, and would like to liqudate. So, what does this lead to? Garage Sale Nation!

This of course, presents a big opportunity for the jobless to add value by sorting through all of this crap in an effort to connect buyers and sellers. I considered starting a store, but honestly, you can get much better traffic by setting up a booth in a flea-market.

Then there are also local mailing lists, and craigslist.

Free-markets, FTW!

Thu, 03/31/2011 - 12:36 | 1121758 plocequ1
plocequ1's picture

I guess i wont eat then. Im a fat fuck anyway. Rally on bitchez

Thu, 03/31/2011 - 12:49 | 1121809 Ruffcut
Ruffcut's picture

I have been noticing my spare tire also.

But these situations create more stress and including me reach for the shittiest foods known on the planet.

Fuck you, bankster criminals, MSM and elites.

We've been waiting for this and will have to price it in. Are the poor going to uprise with food  prices?

Thu, 03/31/2011 - 12:40 | 1121759 hedgeless_horseman
hedgeless_horseman's picture

Two men enter, one man leaves.

Feb. 18 - Federal Reserve Chairman Ben Bernanke said the central bank's attempts to restore the credit markets were aiding the economic recovery without stoking inflation.

Thu, 03/31/2011 - 12:37 | 1121761 tmosley
tmosley's picture

I would suggest to all who will listen that you purchase some long lasting meat products NOW (I recently started buying cured pepperoni and salami, which does not need to be refrigerated, to supplement the canned and frozen meats I have now), and start/expand any and all gardening efforts you can manage.

Thu, 03/31/2011 - 12:45 | 1121775 Jay Gould Esq.
Jay Gould Esq.'s picture

Shelf-stable for who knows how long.

No expiration date, in the tradition comestible sense. It has a half-life. 

Behold: The Log-O-Beef

Thu, 03/31/2011 - 12:52 | 1121827 mick_richfield
mick_richfield's picture

huh.  interesting.   what ... um ... part of the steer does that come from, exactly ?



Thu, 03/31/2011 - 13:00 | 1121870 EvlTheCat
EvlTheCat's picture

If you have to ask, you probably don't want to know!! Beef by products are made from PEOPLE!

Thu, 03/31/2011 - 13:30 | 1122016 The Disappointed
The Disappointed's picture

Soylent Green is set in 2022. Maybe it will get here a little early.

Thu, 03/31/2011 - 14:55 | 1122398 Clampit
Clampit's picture

I prefer bankster slow cooked on the BBQ, with a generous salt rub.

Thu, 03/31/2011 - 19:37 | 1123364 Captain Benny
Captain Benny's picture

The only problem with BBQ bankster is that you have to start the tenderization process before the slaughter and it has to be done with large blunt objects.  Things like baseball bats work...

Thu, 03/31/2011 - 21:34 | 1123706 Clampit
Clampit's picture

Who said anything about slaughter? There's also this new self basting technique I've been thinking of trying out.

Thu, 03/31/2011 - 13:21 | 1121977 krispkritter
krispkritter's picture

Parts, plural.  And you probably don't want to know but I'm sure it's similar to this:

Thu, 03/31/2011 - 12:55 | 1121847 Dagny Taggart
Dagny Taggart's picture

Not sure about your beef log, but here are studies for shelf life of food:

Thu, 03/31/2011 - 13:44 | 1122113 Jay Gould Esq.
Jay Gould Esq.'s picture

Interesting analyses, particularly the brandied peaches. It does make sense, however, if the integrity of the container was maintained, and the medium ( in which the comestible was canned ) was uncontaminated at the time of processing, the contents would be in the condition described. I suppose the same can be applied to a log-o-beef, providing the proper prophylactic is employed.

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