I just opened the article and will go to read because I am interested but I just wanted to say Saudi Arabia really gets us coming and going.
Complicit in 9/11 and a million other terror attacks.
Content to flood oil market and slam prices.
and in bed with generations of president since Bush I.
what a shame
We ISIS’d some folks - Barry
If you think agriculture subsidies are bad, just wait until oil subsidies start up.
Welcome to Venezuela!
This is exactly what the Saudis have been waiting for. And it looks like the Obama White House will hand it to them on a silver platter.
If Donald Trump were President I would advise him to have banks restructure debt for the O & G Companies, put in a floor price for oil imported into the US, say between $35 and $40 per bbl, negotiate massive LNG deals with South Korea, other Asian nations, and Europe.
With America exporting excess natural gas in liquid form (LNG) and exporting excess oil, the economy would be greatly boosted for decades to come, millions (no exaggeration) of well-paying secure and stable jobs would be created, and domestic gas prices could hover around $1.50 per gallon giving a further boost to the economy.
I would also suggest to President Trump to ***delete*** electronically the treasury debt arising from domestic Fed monetization (foreign debt would continue to be serviced) which accounts now for more than 70% of the treasury debt IN EXCHANGE for a BBA, and to have the BBA budgets set on a glide path to save Social Security.
Interest rates could then rise naturally so that savers, pension funds and shareholder bonds would all see a real return on capital.
The downside would be the demolition of the carry trade in the bond markets, but no one would care much except hedge funds and bond traders. They’ve pigged out at the money trough for so long now that they are due for a downsizing. The benefit to society would be at the expense of these persons who make hundreds of millions every year virtually tax-free. I see nothing wrong in that.
BTTT!
I remember how tight mom and dad were (they were born in the 1911 era) and didn’t understand it until I was an adult and they explained life in the Great Depression. As life went on their experiences were merely a story in the past.
In 1979 here in South Texas I started my business in Corpus Christi. It was an industrial electronic/electrical business engaged in welding machinery repair and industrial machinery. Things were going very well and I expanded my workforce and increased tooling and inventory.
Then the stories of my parents came back to haunt me when the oil depression kicked off in early 1982. I remember sitting in my office a day before paying my employees and reading through the mail which contained numerous bankruptcy filings from my customers in the oil business. It was devastating and it even got worse as time went on. I eventually had to lay all of my employees off and run the business by myself to make it survive...although I almost didn’t. My only saving grace was that I financed nothing in the business and didn’t have any banks calling notes.
I then learned the lessons of my parent’s experiences back in the 20’s and that what it was to barely get by with hardly any cash at all. Life was hard and there were times I didn’t have the money to pay my personal bills and buy groceries but I would not lower myself to go on welfare. The other lesson I learned was that any oil related business goes through wild cycles of boom or bust. Sure enough the crash of 1986 came again and due to my experiences of 1982 I survived it too and still have the business to this day.
From those lessons I heard from my parents and my personal experiences I have a policy with only one exception...the purchase of a house...and that is “if you can’t pay cash for it...don’t buy it!” To this day I own everything outright....just in case the specter of an oil collapse comes again and it seems it will be here very shortly.
That was a long time ago and memories of exactly what impact a severe contraction of the oil business has on all levels of business has been lost in the fog of time and in most cases never experienced by those in both big or small business today. During that period of time I watched my fellow businessmen have their notes to the bank “called” even though they were not behind. The reason: To generate cash for the banks that were “left holding the bag” for huge losses due to a flood of bankruptcies of both companies and individuals affected by the depression.
It’s coming folks and if you are associated with the oil business in any way, all that I can say is be prepared, for that day will be here soon.
Do you buy this?
Do you buy this?