It was nice living in America before it changed the course towards the so-called “progress,” which, according to my compass, is pointing backward. All of a sudden, I find myself playing the role of a comrade from the “future,” helping my new compatriots to navigate the quagmire ahead.
The Six Contradictions of Socialism in America Read More »
Wall Street has done it again and today I’m writing to warn you about a hot new financial instrument backed by derivatives that has taken Wall Street by storm. And the aftermath may be just as devastating to investors who are unprepared.
Oil prices have rallied by about 50 percent from their February lows, topping $40 per barrel. But the rally could be reaching its limits, at least temporarily, as persistent oversupply and the prospect of new shale production caps any potential price increase.
U.S. oil production has steadily lost ground over the past two quarters, with production falling more than a half million barrels per day since hitting a peak at nearly 9.7 million barrels per day (mb/d) in April 2015. American oil companies have gutted their budgets and have put off drilling plans, with many projecting absolute declines in 2016.
Oil Rally Reaching Limit Read More »
Oil prices have shown signs of life over the past few weeks, as production declines in the U.S. raise expectations that the market is starting to adjust. As a result, Brent crude recently surpassed $40 per barrel for the first time in months.
A growing list of companies are capitulating, announcing production cuts for 2016. Continental Resources, for example, could see output fall by 10 percent. A range of other companies have made similar announcements in recent weeks. The energy world has been speculating about declines from U.S. shale, and the declines are finally starting to show up in the data.
Oil Won’t Stage A Serious Rebound Until… Read More »
For once, we have agreement across the board on a commodity: Demand for lithium will continue to rise throughout the year–and beyond–spurred by the rise of battery mega/gigafactories and a burgeoning energy storage business that will change the way we live.
That’s why Goldman Sachs calls lithium the “new gasoline”. It’s also why The Economist calls it “the world’s hottest commodity”, and talks about a “global scramble to secure supplies of lithium by the world’s largest battery producers, and by end-users such as carmakers.”
Electric Car War Sends Lithium Prices Sky High Read More »
If you follow the oil news, you’ve probably heard about the deal between the energy ministers from Saudi Arabia, Russia, Qatar, and Venezuela. When the news was announced Oil prices jumped. But if you think this deal actually means anything I’ve got a bridge to sell you. So before you go buying any bridges or buying any oil future’s contracts, let’s take a look at the facts.
The Truth About the Russia-Saudi Oil Deal Read More »
Many commentators were wondering why Hillary was smiling so broadly after the New Hampshire primary since she lost so soundly. NPR said, “Bernie Sanders crushed Hillary Clinton with Democratic voters, just as polls had predicted.” Sanders had 60% of the popular vote and Hillary only had 38%. And there she is smiling like the cat who ate the canary. Why?
Why Hillary was Smiling in New Hampshire Read More »
In recent days, signs of a possible breakthrough in the year-long stand-off between Russia and Saudi Arabia on crude production strategy have emerged. Saudi Arabia, OPEC’s dominant member, has long insisted OPEC (read Saudi Arabia) would not reduce output to balance supply and demand absent corresponding cuts from non-OPEC members (read Russia), while Russia has consistently insisted harsh climactic conditions prevent Russian producers from reducing output and in any case Russia insists it could withstand low prices as well as any other country. January 27, however, Russia announced, in a roundabout way, its willingness to cut
Russia Cries Uncle on Oil Read More »
Here’s what you will learn:
How Europe’s biggest economies are screeching to a halt
Currency devaluation’s role in the developing global crisis
How the self-reinforcing aspect of deflation is already apparent in commodities trading
Why the top 1% of earners are in for a rude awakening
The hair-raising future for U.S. stocks
Why Europe is Going to Get a Lot Worse Before It Gets Better Read More »
Inventories will continue to rise, but the momentum is slowing.
The following are some observations as to how we got here and how we’re gonna get out.
9 Reasons Why Oil Has Taken So Long to Bottom:
1. OPEC increased production in 2015 to multiyear highs, principally in Saudi Arabia and Iraq where production between the two added 1.5 million barrels per day (mb/d) to inventories after the no cut stance was adopted.
2. Russian production increased in 2015 to post Soviet highs.
3. Long planned Gulf of Mexico production began coming on in late 2015.
60 Reasons Why Oil Investors Should Hang On Read More »
