THE OIL GUT IS A SPECULATION SLUT
We have long reported the economic inconvenient truth, the price of OIL is set by world speculators and super money using computers to produce a hidden tax on all of us. The world is drowning in oil.
So OPEC on its ass in debt and stopping forward spending with record youth unemployment globally – seeks to risk speculator profits and control by cutting back production. So in the first month with only 80% compliance ( which is falling to 60% now ) they attempt to remove 1 million barrels a day.
The USA is now exporting 1.2 million barrels a day – in and of itself. the graph on USA oil exports explodes late last year in an UP GRAPH setting records for 70 years. The export graph for USA daily exports is an economic EXPLOSION. Market share is being lost to the GULF ( forever ) to the USA and to other producers like RUSSIA also taking advantage of the OPEC window of opportunity. Why would they risk their own market share? have fallen since the 1973 embargo of oil when
Imports have fallen since the 1973 embargo of oil when US Imports rose in after years to almost 80% and now are down to 27% and falling. Donald Trump says the USA will not require imports on his watch and he building the pipelines to prove it.His exploration and new USA find policy has just started. TRUMP WILL OPEN OIL FLOODGATES IN THE LARGEST LAKE OF OIL ON EARTH THAT THE USA OWNS IN AND OF ITSELF AS A DOLLAR BASED ASSET RESOURCE AND WORLD TRADE RESERVE ASSURED VALUE PROPOSITION.
The oil market is in a MARKET SHARE WAR.
The price of oil is in wars that make break speculator pricing ( as their blood bath’s continue ). The Oil share market has been the second-worst performer in the S&P in 2016.
No one can predict the future cost of EVERYTHING. Any downturn in world economics and OIL will free fall like a stone along with real estate and everything else. Deflation remains the hidden ACE that the FED has no cards to play against remaining. Let us see if real inflation has taken over or if DEFLATION in asset classes is about to assure SUPER CRASH is a blip in the financial tsunami coming to balance global trading accounts.
One thing is for sure….this manipulation can NOT continue. The largest RE-THINK in Global regulatory framework is required by G 100 nations ….. or jiggers the game is up folks for the global system as it is today.
There are huge forces at work to move into war to explode oil prices on the ramp into conflict. Taxing all economies and forcing many into bankruptcy. There are forces to return oil to market pricing which would PLUNGE OIL prices and remove speculation from the marketplace once and for all returning marketplace pricing to oil in real supply demand issues.
Oil is a declining demand product. Clean burning coal, natural gas, hydrogen, alternative energy all cut into oil monopoly on energy and the growing supply and the absolute growth diversion on demand – is a new market model no one can today decide what the future will be. Oil Super Money and nations dependant upon it have a final card to play – only one – which is a wallet economic card – WAR. Millions die to support price for oil? Are we all that stupid?
BERNY DOHRMANN – Keeping the light on the OIL cost of everything……
— March 1, 2017