Falls in grain prices to help keep global inflation subdued

The recent declines in the prices of US grains and oilseeds have received much less media attention than the surge last summer, but they have now reversed most of those gains. Admittedly, the prices of other key global foodstuffs have been relatively stable throughout this period. There are also still some local weather-related shortages and other price pressures building in other countries. Nonetheless, the bigger picture is that fears of another global food price crisis have proved to be overdone.