Through the backdoor
Oct 01, 2024
Agricultural commodity prices have more than doubled since the COVID crisis, reaching record highs this year. As David Costa of Crescat Capital aptly notes, rising agricultural prices have historically been a precursor to broader commodity inflation. If this trend continues, inflation could resurge unexpectedly. Despite recent improvements in inflation data and interest rate cuts, investors must remain highly vigilant about the future trajectory of inflation, particularly given the current geopolitical climate.