The effects are rippling from financial trading floors to local stores, forcing consumers to shell out more for everyday basics — a cup of coffee, a box of cereal, a gallon of gasoline....
Retail food prices have already started to rise after remaining relatively flat for the first half of the year, said Ephraim Leibtag, an economist with U.S. Department of Agriculture's Economic Research Service.
The agency forecasts that overall inflation for food prices, projected at 0.5% to 1.5% this year, in 2011 will range from 2% to 3%. "But some segments — such as dairy and meat — will be higher than that," Leibtag said.
Link via Mike Allen's Politico Playbook.