Tuesday 15 July 2008

Inflation and packaging

On the BBC news this morning a reporter was talking about the cost of apples.

What was interesting was that the cost of producing the apples had not gone up much. The reason for the large price increase was the cost of packaging which had risen by 18% in a month. This was because oil is used in the process of making all plastic packaging.

1 comment:

Unknown said...

Inflation respects no political border, which means that targeting inflation linked bonds on a global basis is a natural for investing strategy. the global market for inflation-linked bonds is bubbling as well. Growing demand for hedging inflation is one reason. But there’s the portfolio diversification angle, too. Investors increasingly see inflation protected obligations as a distinct asset class, even when compared with conventional bonds.

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