Banana Commentary Week Ending 5 20 2011

The dollar slid this week against bananas.  Rumors slipped in and out of the news early this week swirling around speculation that the movement had something to do with the proposed form changes for the mortgage industry released on Wednesday.  Our goal is to peel away the official reports and get to the pulp of the problem.  The oil industry claims they had nothing to do with the spike, fuel prices actually decreased slightly during the early part of the week.   Fear of the Fed’s exit strategy may have been partially responsible for the  additional pressure that sent banana prices back to the levels of week before last.

Homeowners were distraught learning about the difference this made in the value of their homes.  In Louisville a home valued at $200,000 lost the equivalent of 221,455 pounds of bananas!  Our staff expert, The Big Banana said the outside color of the home was not a factor; yellow houses lost the same as red ones.    

5 20 11 Banana Commentary Week Ending 5 20 2011

Leave a Reply