This page has been archived and commenting is disabled.

Deep Fried Black Swan Goes Global As Drought Spreads From US To Asia, And Now To Southern Europe

Tyler Durden's picture




 

The US drought, which as previously noted, is the worst in decades, has already caused corn prices to hit a record, and soy to soar. And as we first reported last week, and subsequently Bloomberg also caught, Asia could well be next to suffer soaring food prices next as "the monsoon season, which is critical for that country’s agricultural production, is 22% below normal conditions for the year." In fact, if there is one thing preventing the PBOC from engaging in full blown easing, it is precisely the threat that just as it floods the market with excess CNY, that the supply of food will collapse causing widespread riots and chaos a la Arab Spring 2011. And now, just to make sure that the threat of full out global food crisis is complete, and the deep fried black swan has truly gone global, we find that a heat wave in Southern Europe is causing the corn crops to wither in a region that is responsible for 16% of global exports.

 

Bloomberg has more.

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Wed, 07/25/2012 - 18:10 | 2651099 Flakmeister
Flakmeister's picture

Is making shit up all that you have left?

Explain

http://agbjarn.blog.is/users/fa/agbjarn/files/ljungquist-temp-reconstruction-2000-years.pdf

 

“Our temperature reconstruction agrees well with the reconstructions by Moberg et al. (2005) and Mann et al. (2008) with regard to the amplitude of the variability as well as the timing of warm and cold periods, except for the period c. AD 300–800, despite significant differences in both data coverage and methodology.”

Wed, 07/25/2012 - 16:35 | 2650696 crkennedymd
crkennedymd's picture

Oh, I get it. You are one of those who believe this time it's different. I guess I can sell off my PMs too. Thanks for the insight

Wed, 07/25/2012 - 16:54 | 2650780 Flakmeister
Flakmeister's picture

I suggest you keep them but given that the amount of gold you likely have could safely be shoved up your ass, I don't think it'll make much differenence one way or the other....

Wed, 07/25/2012 - 17:02 | 2650817 crkennedymd
crkennedymd's picture

You've an odd fetish, eh? I just went and got my abacus out of my Volt (hasn't exploded yet...fingers crossed). Turns out 400 ppm is a mind blowing 4 tenths of one percent. No wonder you're hanging your hat on that gas. Given your fetish, you might want to focus on methane for awhile.

Wed, 07/25/2012 - 17:20 | 2650894 Flakmeister
Flakmeister's picture

Out of curiousity, what fraction of the atmosphere is CHG?

What would the temperature of the earth be if there were no GHG?

If you use the argument that you just peddled out, it shows 1 of 2 things... either you don;t know better and can be forgiven for your ignorance, or you do you know the truth and you are a disingenuous hack?

So which is it? Are you a fool or a liar?

 

Wed, 07/25/2012 - 17:24 | 2650907 BandGap
BandGap's picture

Stop masturbating.

Wed, 07/25/2012 - 17:57 | 2651053 crkennedymd
crkennedymd's picture

What would the temperature of the earth be if there were no GHG?

Try Snowball Earth.

You are likely one of those PhD, nonproductive pseudo intellectuals that want to be called Doctor, eh? Unlike those of us that earned it and often just snag a PhD along the way as an afterthought. Care to debate String Theory or perhaps M-Theory. Witten may be on to something

Wed, 07/25/2012 - 18:17 | 2651121 Flakmeister
Flakmeister's picture

FWIW, I have had lunch with Witten on occasion and explained to him how you optimize trigger strategy for a hadron collider experiment....

String theory is closer to philosophy than anything and I don;t debate philosophy here at ZH.... If you want to discuss Higgs phenomenology, I could be convinced....

Nope... two kids who ocassionally check in while I post  here... the 15 y.o. howls at posts like yours...

PS Very good re: Snowball Earth, maybe you could comment on the change in radiative forcings since 1980 tabulated here

http://www.esrl.noaa.gov/gmd/aggi/

Wed, 07/25/2012 - 18:43 | 2651194 crkennedymd
crkennedymd's picture

LOL. You explained something to Witten? Couldn't read the rest due to the tears of laughter in my eyes

Wed, 07/25/2012 - 19:28 | 2651316 Flakmeister
Flakmeister's picture

Hey, you are the asshat who brought him up... not me...

You have no fucking idea what my scientiific credentials are....

Wed, 07/25/2012 - 19:05 | 2651243 crkennedymd
crkennedymd's picture

And you refer us to a site that approaches it from the same flawed a priori position as yourself? Within the first page comes, "The perturbation to direct climate forcing (also termed “radiative forcing”) that has the largest magnitude and the least scientific uncertainty is the forcing related to changes in long-lived and well mixed greenhouse gases, in particular carbon dioxide (CO2)." Really? Based upon what extensive period of the Earth's history? Least uncertainty; my ass.

Wed, 07/25/2012 - 19:15 | 2651276 Flakmeister
Flakmeister's picture

Sorry... but your DK effect is showing...

Let me guess, 100 years of quantum mechanics, spectroscopy is just wrong?

Or maybe that 1969 satellite measurement that proved the Green House effect?

Be sure to check the last figure here

http://www.skepticalscience.com/basics_one.html

Compare the "model" prediction and the observed data (remember this is from 1969....)

Wed, 07/25/2012 - 19:11 | 2651262 crkennedymd
crkennedymd's picture

And last, but not least; you MAY not debate philosophy here at ZH, but you DEFINITELY do not debate reality

Wed, 07/25/2012 - 19:22 | 2651295 Flakmeister
Flakmeister's picture

You are in way over your head buddy....

I suppose that Rush is your go-to guy for climate matters, or maybe some shill funded by the Kochs? Or better yet, you just know that it is a "left wing conspiracy" because, well just because...

Which one is it?

Wed, 07/25/2012 - 19:37 | 2651340 BandGap
BandGap's picture

You're fucking delusional. If you understand quantum mechanics you should understand that Mann is complete bullshit. 

String theory is a philosophy? Wow, do you just pull shit off of Wiki?

Wed, 07/25/2012 - 19:42 | 2651356 crkennedymd
crkennedymd's picture

Apparently a theory based upon a mathematical framework is a philosophy unless it serves his AGW agenda

Wed, 07/25/2012 - 20:43 | 2651531 Flakmeister
Flakmeister's picture

Alright, name one testable prediction of string theory? By testable, I mean in the foreseeable future....

BTW, Large extra dimensions are not a prediction of string theory....

Wed, 07/25/2012 - 16:35 | 2650698 surf0766
surf0766's picture

Yes because only lefty science people know the truth. The anger is your statements is funny

Wed, 07/25/2012 - 18:29 | 2651150 Flakmeister
Flakmeister's picture

Sorry if you think like the Texas GOP...

http://www.washingtonpost.com/blogs/answer-sheet/post/texas-gop-rejects-critical-thinking-skills-really/2012/07/08/gJQAHNpFXW_blog.html

Half the problem with this country are fucknuts that associate "critical thinking" with a left wing agenda....

 

Wed, 07/25/2012 - 23:48 | 2652001 sherryw
sherryw's picture

What is it when, in a senior high school essay, students are asked to analyse a Shakespearean play from gender, race or class perspective?

In my opinion the 'critical thinking'  agenda in schools is turning students into bigots, racists, sexists and class conscious small thinkers.

Wed, 07/25/2012 - 23:49 | 2652005 Boop
Boop's picture

Reality has a liberal bias, and some conservatives don't like it one bit. They'd rather pretend that they create their own reality.

Wed, 07/25/2012 - 19:16 | 2651278 Urban Roman
Urban Roman's picture

Truth is truth, you rightwing religions looney asshole.

Wed, 07/25/2012 - 16:24 | 2650653 mayhem_korner
mayhem_korner's picture

 

 

I stopped reading at "serious climatologist"...

Wed, 07/25/2012 - 16:29 | 2650680 Flakmeister
Flakmeister's picture

That would explain why you otherise are completely clueless about climate and science in general....

Wed, 07/25/2012 - 16:46 | 2650749 mayhem_korner
mayhem_korner's picture

 

 

I think you've mixed your xanax and aspirin bottle labels again, Flaky.  (But at least you don't have a headache).

Wed, 07/25/2012 - 16:56 | 2650788 Flakmeister
Flakmeister's picture

Nuthin but empty and old insults....

But since when have you ever come up with something rational or meaningful to say?

Wed, 07/25/2012 - 17:25 | 2650918 BandGap
BandGap's picture

You quote shit you don't understand and decry this behavior.  You're a joke. Now shut off the TV and read a book.

Wed, 07/25/2012 - 18:35 | 2651170 Flakmeister
Flakmeister's picture

I'm disappointed, I thought you might be able to bring something to the table... I was mistaken, alll you brought was just bluster, discredited strawmen used to decieve the unwaware and stuff that you simply made up.....

Still claiming the 30's were the warmest decade?

 

Wed, 07/25/2012 - 17:01 | 2650809 AchtungAffen
AchtungAffen's picture

Too much truth for ZH, where commenters are used to believe in anything but science. The science would be too commie for them...

Wed, 07/25/2012 - 17:35 | 2650958 css1971
css1971's picture

Well, you  see. AGW is not science, it's weather forecasting. Science is testable and repeatable. AGW is neither, though it does have lots of pretty pictures and large, complex and expensive models instead.

Wed, 07/25/2012 - 17:55 | 2651036 clawsthatscratch
clawsthatscratch's picture

questions....how many times a week does your weather scientist get the weather correct in your town?.....So why do you think they can get it right at all? To me its just a religion....show me repeatable data that isnt cooked up to get funds.

Wed, 07/25/2012 - 18:46 | 2651198 Flakmeister
Flakmeister's picture

You are going to have to do better than that.....

When do you think that a cooling of the stratosphere was predicted? (and verified)

When do you think the prediction of higher night time temps was made? (and verified)

Here, chew on this model from 1975 and what was predicted:

http://www.skepticalscience.com/lessons-from-past-climate-predictions-broecker.html

Hell, if economists could only do so well.....

 

Thu, 07/26/2012 - 02:41 | 2652209 NaN
NaN's picture

FlakM:  I appreciate the good climate references and I'm glad to see someone else around here is trying to see reality, however I'm pretty sure that lengthy debate with BandGap will only harden his position (if only to spite you).  Also, most people will never concede that they are wrong; instead they will revise their opinion later when no one is looking.

Climate change is a systemic foresight challenge to the human species.  Will we pass the test?  There was a chance before lobbiest and public relations efforts by right wing polical groups (as controlled by "the oligarchy") got involved.  Now the discussion for most people is dominated by team identification and has nothing to do with reasoning and evidence.  They merely exercise numerous rhetorical ploys (see 38 rhetorical ploys in the public domain "The Art of Controversy" by Arthur Schopenhauer, 1896).

 

Thu, 07/26/2012 - 14:20 | 2653926 AchtungAffen
AchtungAffen's picture

Weather and climate are different.

The scientific community, through peer review, has established through evidence and modelling, that as far as today's science knows, the rise in ammounts of CO2 in the atmosphere is manmade and it's causing the climate (note: not weather) to get warmer.

That's the science. You can rather believe the science, or believe in non scientific "stuff". The choice is yours...

Wed, 07/25/2012 - 17:03 | 2650815 Winston Churchill
Winston Churchill's picture

STFU.

Your brain cell obviously cannot handle more than one thing at a time.

I suppose AGW(Antropologically grotesque writer,in your case) caused the Sahara as well,

and is raising the temperatures on Mars also.

Wed, 07/25/2012 - 18:41 | 2651187 Flakmeister
Flakmeister's picture

Pray tell, what the explanation for Mars is?

I'll give you a hint and even give you the payoff:

http://www.nature.com/nature/journal/v446/n7136/abs/nature05718.html

The primary empirical evidence for long term, global warming on Mars comes from Fenton 2007.  Fenton compared a composite snapshot of Mars from 1977 taken by the Viking spacecraft to a 1999 image compiled by the Mars Global Surveyor. The 1977 snapshot showed a brighter planet. In 1999, the planet had a lower albedo, with prominent darker regions in the southern mid and high latitudes. Using the albedo changes in a general circulation model, Fenton calculated a 22 year global warming trend of 0.65°C.

Wed, 07/25/2012 - 20:14 | 2651450 Winston Churchill
Winston Churchill's picture

Go stick some more batteries in that Dildo you call a head.

I forget,I'm sure its Solyndra powered.

Wed, 07/25/2012 - 20:47 | 2651541 Flakmeister
Flakmeister's picture

Oh my, what a fucking snappy comeback..

If you can't take the heat, get out of the kitchen...

But I'd say you are already toast...

Wed, 07/25/2012 - 16:12 | 2650601 Missiondweller
Missiondweller's picture

And don't forget rice.

 

Rice requires lots of water. Remember the rice hoarding a few years ago on virtually nothing but rumors?

Even here in San Francisco, Asians were buying 50 lb bags at Costco. Can't even imagine what would happen if there was a shortage in Asia of this basic food.

Wed, 07/25/2012 - 17:34 | 2650956 Winston Churchill
Winston Churchill's picture

Rice is OK.

Its the monsoon in the north(grains) thats short.

The south(rice) is normal I heard.

ORI,can you confirm ?

Wed, 07/25/2012 - 16:16 | 2650612 Lohn Jocke
Lohn Jocke's picture

CBOT confirmed hog producers imported Brazilean corn yesterday. But there is so much external money in grain right now that Paper demand is inflating prices while physical deman (basis levels) cut back. Corn and Soy bulls will be sorry that they bought $8 paper when they sell back at $7

Wed, 07/25/2012 - 16:44 | 2650738 Catullus
Catullus's picture

Seriously.  I feel like this drought story is cover to hide the massive amount of paper commodity bullishness.  The Soviet Union pulled the old blame the weather game too.

Wed, 07/25/2012 - 18:22 | 2651132 viahj
viahj's picture

never let a crisis go to waste to steal margin or dictate oppression but i don't think that the drought conditions are being overstated.  it's 'effin dry.

Wed, 07/25/2012 - 16:18 | 2650619 onlooker
onlooker's picture

If the projected 11 year sun cycle with increased activity that was projected for 2012 is here, and based upon another few years of dry and heat for at least the southern US states that is projected, and with the rest of the World having worse weather for food production, we may indeed be in for instability in many areas as far as food supply goes.

Wed, 07/25/2012 - 16:20 | 2650630 mr. mirbach
mr. mirbach's picture

Now if Monsanto could only engineer grains to grow without water,  hmmm....

Wed, 07/25/2012 - 16:47 | 2650751 dark pools of soros
dark pools of soros's picture

or a madman bringing up aquaduct water to farm in Africa...

Wed, 07/25/2012 - 16:37 | 2650699 earleflorida
earleflorida's picture

let us not forget that whatever the total corn output is,... there has been 40% set aside for ethanol. the corn-holer's gotta eat to? let me reiterate for the umpteen time -- ethanol is the worst rip off in the 21st century

jmo

Wed, 07/25/2012 - 16:49 | 2650759 Snakeeyes
Snakeeyes's picture

Throw in Germany's Flash PMI drop and Moody's downgrade of 17 German banking groups and we have a HOT Euro Partay!

http://confoundedinterest.wordpress.com/2012/07/25/5-year-treasury-aucti...

Wed, 07/25/2012 - 16:54 | 2650778 Hype Alert
Hype Alert's picture

It's just a cover for the inflation we know is coming.  It wasn't the FED printing, honest.

Wed, 07/25/2012 - 16:56 | 2650785 Jim in MN
Jim in MN's picture

And of course, Fukushima...

A team of international researchers this week said elevated levels of caesium in soil in the region would "severely impair" food production in eastern Fukushima. The study, published in the US-based Proceedings of the National Academy of Sciences journal, suggested farming in neighbouring areas could also suffer because of radiation.

Read more at: http://phys.org/news/2011-11-japan-fukushima-rice.html#jCp

Wed, 07/25/2012 - 17:11 | 2650856 ParkAveFlasher
ParkAveFlasher's picture

two-ton eggplant, bitchez!

hot pink broccoli, bitchez!

godzilla cabbage, bitchez!

CESIUM SPROUTS, BITCHEZ!

Thu, 07/26/2012 - 06:54 | 2652366 Terminus C
Terminus C's picture

Tommacco, bitchez!

Wed, 07/25/2012 - 17:14 | 2650868 Rat Patrol
Rat Patrol's picture

If Obama can lower the oceans, how come he can't make it rain?

Wed, 07/25/2012 - 17:27 | 2650924 yogibear
yogibear's picture

Food prices doubling along with Bernanke's QE-to-Infinity should cause Americans to loose a bit of weight. If food stamps won't pay for the food anymore  then the people will take to the streets.

Wed, 07/25/2012 - 17:33 | 2650950 q99x2
q99x2's picture

When there is no food for a hog's mouth.

You should go on a diet.

Wed, 07/25/2012 - 17:37 | 2650966 Duke of Con Dao
Duke of Con Dao's picture

http://www.youtube.com/watch?v=2mFRJLxJ5KQ

YouTube - MIDGET v. GIANT: You Didn't Build That, James Dean! says President Obama

in this vid mash Obama takes on Big Oil, a losing bet for sure when you're going up 

against James Dean and JETEXAS Oil.  

2 mniutes of your life, but well worth it...

Wed, 07/25/2012 - 18:55 | 2651224 chump666
chump666's picture

No QE3.  If the Fed does it, Obama should grow balls and send a SEAL team into the Fed offices

Wed, 07/25/2012 - 20:26 | 2651479 WAMO556
WAMO556's picture

Negative there ghost rider. Much better to use Private Military Contractors, that way you know that the job gets done. By the way, so that everyone gets this, there is no SEAL team 6. Hasn't been around since the early 80's. But so that you know who.went into Pakistan, it was contractors. Contractors are Far more capable then a heirarchal military unit ever will be. Put a price tag on the op and expect efficient conclusion to said op.

Wed, 07/25/2012 - 20:27 | 2651484 WAMO556
WAMO556's picture

Asymmetrical warfare group! Hop and Pop SWA!!!

Wed, 07/25/2012 - 22:42 | 2651826 FRBNYrCROOKS
FRBNYrCROOKS's picture

Osama died of Kidney Failure in 2007. Seal Team 6 was a bunch of lie/propaganda. You sheeple amaze me with your trust in the criminals running this gov't!

Wed, 07/25/2012 - 20:34 | 2651504 Bansters-in-my-...
Bansters-in-my- feces's picture

"And the Rothschilds smile"

They must be happy with thier new foud buisness model....

Weather Central......

70% ownership.

Strange indeed.

Ps...I was heavily chemtrailed all day again.

Geoengineering at it's finest.

"What type of weather would you like today Sir Rothschild."

Thu, 07/26/2012 - 02:20 | 2652204 reader2010
reader2010's picture

Adverse weather conditions are required for everyone and his brother beg the banksters for infinite QE. 

Thu, 07/26/2012 - 03:12 | 2652233 NaN
NaN's picture

The current La Niña conditions will likely shift to El Niño before winter.  These NOAA predictions have been accurate in my experience since I started paying attention to them after the infamous 1998 El Niño (see the weekly update link):

http://www.cpc.ncep.noaa.gov/products/analysis_monitoring/enso_advisory/

In the meantime, Illinois and areas to the south will be having a long, extra hot, extra dry summer. 

 

Do NOT follow this link or you will be banned from the site!