"Whenever the dollar strengthens, that makes commodities
more expensive for everyone else in the world,'' said Peter
Beutel, president of energy consultant Cameron Hanover Inc. in
New Canaan, Connecticut. ``It makes them less willing to buy
oil.''
President George W. Bush said
yesterday that "the U.S. believes in a strong-dollar policy.''
"I would be very surprised if there's not a reference to
oil prices as a risk to the world economy'' in the summit's final
statement, said Tim Evans an energy analyst for Citi Futures
Perspective in New York. "At the same time, I don't really
expect something substantial to come out of the G-8 meeting in
terms of global energy policy.''
"Obviously, there's some selling pressure here, some profit
taking going on,'' said Addison Armstrong, director of market
research at TFS Energy LLC in Stamford, Connecticut. "The
gasoline and heating oil are pretty weak.''
As the west still pushes blame on OPEC nations for the outrageous oil prices they have failed to address in any public forum the simple truth until now.
"The dollar is responding to happy talk coming out of the
G-8,'' said Michael Fitzpatrick, vice president for energy risk
management at MF Global Ltd. in New York.
All we needed was 'happy talk'.
It's a simple equation. Oil is bought and sold in U.S. dollars. When these dollars devalue the number of dollars required to purchase oil increase. Since Oil futures can be purchased on as little as 10%, when the US economy becomes unstable and the Fed holds down interest rates, weakening the dollar, people rush to put there money in commodities.
JPMorgan Chase CEO Jamie Dimon in an interview with Charlie Rose featured in last week's Aspen Ideas Festival, "We almost deserve $4 gas. We knew in 1974 that we had a serious issue
but we don’t have the political fortitude to do anything about it.
That’s the issue, not Russia."
Current conditions combined with over 30 years of repeated warnings it's coming to an end only fuel the fire. Instead of taking care of the nations future, our leadership has raped us and even our staunchest allies are now waiting for the Bush nightmare to end.
As the dollar fell, instabilities in the worlds major oil producing region and talk of more war fueled the increases caused by a weak US dollar, speculation ran rampant.
The Global economy is transportation based, therefore fuel based. An estimated 63% of the worlds fuel oil is burned up transporting, for example Soy Beans from Argentina to markets in New York?
OPEC nations have come under fire for statements that they are producing sufficient oil to meet world demand, and OPEC's president put a large portion of the blame on the Fed.
Over the last 8 years our President has sold out this nations economic strength to Big Oil and Private equity. The Fed has supported these policies and now the effects have shaken the worlds economies. Mr. Bush is single handedly responsable for putting more Americans in debt and destroying the fiscal health of the worlds most powerful nations.
The US war footing is unsustainable under these economic conditions, conditions that will almost certainly be maintained under a McCain administration.
Frankly I see no proof that Obama is any different, he's big money and he loves the spot light, but perhaps this spot light will force him to get us out of war and back on target.
Iran is the second largest OPEC producer next to Saudi Arabia, Iranian Foreign
Minister Manouchehr Mottaki on CNN yesterday that talks about its
nuclear program are "in a new environment'' and "new
approaches'' with the U.S. are possible.
But as we face increasing oil pressure in the global market place we talk of attacking them? The Israeli's don't attack anyone over our air space without our OK and Iraq is ours. We stand with armies on two sides of Iran and expect them to grovel.
But is it possible they simply want to have enough electricity to function and develop? Instead of issuing threat after threat perhaps we should work towards developing a sustainable and monitorable energy plan for an major oil producing nation. Can we take the sword off of the table for once? No one wants to face our armies on the field, win or lose if we fight on there soil the costs will devastate any nation. But now with global economies tied so closely to each other and market speculation, perhaps the cost to all of us it to high.
While constant press coverage of the power and might of the US military has served to desensitize Americans to war, to the non-aligned worlds it has stood as a warning, do not cross us or you will burn in holy fire. I for one and sick of being viewed by most of the world as evil murdering war mongers, this is not our way, we are the fallen.
Had this nations peoples voice been heard 8 years ago when the 'free' people of American elected Al Gore perhaps all of the worlds people would be suffering just a little less. It's unfortunate 'We the People' have so little say in our own future. That's not how this country was built. Obama was just as much a part of the system that put us on this path as anyone else, his electoral vote was for George Bush.
In order to stabilize the worlds economy we need to stabilize this government and it can not be done through sham elections in a failed two party system. We need real reforms in government and in our economic markets. Removal of private money from public institutions is crucial and this, unfortunately is a truth Obama has walked away from. I fear we are simply in for more of the same. Get used to it. Get used to debt.
more expensive for everyone else in the world,'' said Peter
Beutel, president of energy consultant Cameron Hanover Inc. in
New Canaan, Connecticut. ``It makes them less willing to buy
oil.''
President George W. Bush said
yesterday that "the U.S. believes in a strong-dollar policy.''
"I would be very surprised if there's not a reference to
oil prices as a risk to the world economy'' in the summit's final
statement, said Tim Evans an energy analyst for Citi Futures
Perspective in New York. "At the same time, I don't really
expect something substantial to come out of the G-8 meeting in
terms of global energy policy.''
"Obviously, there's some selling pressure here, some profit
taking going on,'' said Addison Armstrong, director of market
research at TFS Energy LLC in Stamford, Connecticut. "The
gasoline and heating oil are pretty weak.''
As the west still pushes blame on OPEC nations for the outrageous oil prices they have failed to address in any public forum the simple truth until now.
"The dollar is responding to happy talk coming out of the
G-8,'' said Michael Fitzpatrick, vice president for energy risk
management at MF Global Ltd. in New York.
All we needed was 'happy talk'.
It's a simple equation. Oil is bought and sold in U.S. dollars. When these dollars devalue the number of dollars required to purchase oil increase. Since Oil futures can be purchased on as little as 10%, when the US economy becomes unstable and the Fed holds down interest rates, weakening the dollar, people rush to put there money in commodities.
JPMorgan Chase CEO Jamie Dimon in an interview with Charlie Rose featured in last week's Aspen Ideas Festival, "We almost deserve $4 gas. We knew in 1974 that we had a serious issue
but we don’t have the political fortitude to do anything about it.
That’s the issue, not Russia."
Current conditions combined with over 30 years of repeated warnings it's coming to an end only fuel the fire. Instead of taking care of the nations future, our leadership has raped us and even our staunchest allies are now waiting for the Bush nightmare to end.
As the dollar fell, instabilities in the worlds major oil producing region and talk of more war fueled the increases caused by a weak US dollar, speculation ran rampant.
The Global economy is transportation based, therefore fuel based. An estimated 63% of the worlds fuel oil is burned up transporting, for example Soy Beans from Argentina to markets in New York?
OPEC nations have come under fire for statements that they are producing sufficient oil to meet world demand, and OPEC's president put a large portion of the blame on the Fed.
Over the last 8 years our President has sold out this nations economic strength to Big Oil and Private equity. The Fed has supported these policies and now the effects have shaken the worlds economies. Mr. Bush is single handedly responsable for putting more Americans in debt and destroying the fiscal health of the worlds most powerful nations.
The US war footing is unsustainable under these economic conditions, conditions that will almost certainly be maintained under a McCain administration.
Frankly I see no proof that Obama is any different, he's big money and he loves the spot light, but perhaps this spot light will force him to get us out of war and back on target.
Iran is the second largest OPEC producer next to Saudi Arabia, Iranian Foreign
Minister Manouchehr Mottaki on CNN yesterday that talks about its
nuclear program are "in a new environment'' and "new
approaches'' with the U.S. are possible.
But as we face increasing oil pressure in the global market place we talk of attacking them? The Israeli's don't attack anyone over our air space without our OK and Iraq is ours. We stand with armies on two sides of Iran and expect them to grovel.
But is it possible they simply want to have enough electricity to function and develop? Instead of issuing threat after threat perhaps we should work towards developing a sustainable and monitorable energy plan for an major oil producing nation. Can we take the sword off of the table for once? No one wants to face our armies on the field, win or lose if we fight on there soil the costs will devastate any nation. But now with global economies tied so closely to each other and market speculation, perhaps the cost to all of us it to high.
While constant press coverage of the power and might of the US military has served to desensitize Americans to war, to the non-aligned worlds it has stood as a warning, do not cross us or you will burn in holy fire. I for one and sick of being viewed by most of the world as evil murdering war mongers, this is not our way, we are the fallen.
Had this nations peoples voice been heard 8 years ago when the 'free' people of American elected Al Gore perhaps all of the worlds people would be suffering just a little less. It's unfortunate 'We the People' have so little say in our own future. That's not how this country was built. Obama was just as much a part of the system that put us on this path as anyone else, his electoral vote was for George Bush.
In order to stabilize the worlds economy we need to stabilize this government and it can not be done through sham elections in a failed two party system. We need real reforms in government and in our economic markets. Removal of private money from public institutions is crucial and this, unfortunately is a truth Obama has walked away from. I fear we are simply in for more of the same. Get used to it. Get used to debt.
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