Prices climb as economy weakensPrices climb as economy weakens

John T.
Barone

Consumer confidence plummeted by 25 percent in August, likely in reaction to the political antics surrounding the debt-ceiling debate. Second-quarter gross domestic product growth was revised downward to just 1.0 percent, following anemic 0.4 percent growth in the first quarter. 


The economy is in far worse shape than previously thought. Many economists say that the distinction between a recession and the extremely slow growth recorded so far this year is just a matter of semantics.


But while the economy weakens, commodity prices continue to strengthen. Agriculture and livestock markets are just now coming to grips with prospects for yet another year of tight corn supplies, ethanol mandates, more demand from the Chinese, dr...