Um…your price just went up.

Numbers are from here.1.    Diesel shortages in Southern China means that a) there isn’t enough to go around (duh) but also, b) the black market price for gas is taking off.  Read: your transportation costs just went up.2.    Coal, oil and electricity prices went up 14% from least year and 0.6% from last month.3.    Compared with last year: farm produce up more than 13%; Edible oil up 44%; meat products up 58%; raw grain up 9.5%, veggies up 26.8%.4.    China’s CPI is at a 12 year high of 8.7%This means that the RMB will strengthen again (and again, and again) and so if you’re paying for things in Dollars (or Euro) the cost of exchange will go up too.  And, as we mentioned before, with the new rate cuts in the US, cheap money from the US will continue to fuel the FDI flood into China and keep inflation running hot and high!Good times.