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Now last year right on this very show the Yale professor Robert Shiller.
Was on -- -- has been many times city's famous first predictions on the real estate market he had this to say then.
You had a prediction of where the next bubble could be -- history in this.
Of course -- predicting virus and it just was very interesting for us to read that you think that there's a bubble and of all things possibly.
What satellite out.
This is a guess I have to say I'm not advocate are not making any investment advice -- it's -- -- But we -- we've already seen bubble or boom in.
But they didn't bust like housing prices did -- went down from like 5%.
You know that's in real terms that's not it's not a big -- why why was it different I'll tell you -- high is because they -- building anymore farmland.
So here we are it's more than a year later in American farmland prices are seen the biggest increase 35 years at least five states.
Around the country and at the CME we have Jeff Flock today the Green room with more Jeff.
Indeed you know this is something they've been talking about down here for awhile but I -- it is really taken off and no signs of abating because there's no signs of abating.
In commodity prices -- want to show you just won the sale that we learned about.
I here at the Fox Business Network is a piece of ground in Michigan.
Recently sold for over 8000 dollars an acre.
That's quadruple the average right now but that's the kind of money that's it fetched out there sky utility.
Of them and we always like to talk too about foreign matters because you.
We -- -- that indicates you know what you're talking about.
You've been talking about this for -- yeah and we've got an issue now out there were we've got funds were gonna getting in our markets commodities started it -- -- -- So instead of just actually only the corn they -- -- -- -- -- on the -- so there's been -- big -- -- prices just because of that.
And this is it's driven by a number of factors in addition to low interest rates in addition to the fact that there's a lot of availability out here you've got farmers that are now flush with cash as we walk into the cattle and -- -- -- here as well.
-- -- you have money banks are willing to loan to them where's the problem we see -- -- bubble on this got.
I think we have seen worse we -- of a bubble and the problem is this is that.
They're expanding and doing very well right now flush with cash but they're taken out loans at very low rates when and if the rates start to go higher than we have a problem on our hands because they've leveraged themselves at such low interest rates well OK well there you go but I -- -- Wall Street really getting in on this and overseas investors -- to as well.
Stuff may be more valuable like stop these guys you're trading interest -- story thank you Jeff Jeff Flock to the CME in Chicago.
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