Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Sarah Palin: Wall Street's Candidate
Seeking Alpha ^ | September 04, 2008 | by Jason Schwarz

Posted on 09/04/2008 5:08:52 AM PDT by library user

Everyone's talking about Sarah Palin. Thank goodness for investors, she is pro Wall Street. Her Wednesday night RNC speech struck a cord with businesses across the country. This self proclaimed 'gal from Alaska' is already shaking things up with the substance that she offered up on important economic issues.

1) Oil (USO) is heading lower, much lower.  As Governor she began a forty billion dollar natural gas pipeline to help lead America to energy independence. She said,

"Families cannot throw away more and more of their paychecks on gas and heating oil... When a hurricane strikes in the Gulf of Mexico, this country should not be so dependent on imported oil that we are forced to draw from our Strategic Petroleum Reserve...we Americans need to produce more of our own oil and gas. And take it from a gal who knows the North Slope of Alaska: we've got lots of both. Starting in January, in a McCain-Palin administration, we're going to lay more pipelines... build more nuclear plants... create jobs with clean coal... and move forward on solar, wind, geothermal, and other alternative sources. We need American energy resources, brought to you by American ingenuity, and produced by American workers."

Investors are finally catching on to the fact that alternatives to oil are coming and that America is serious about our oil independence. Since oil reached its high in the 140s, we at www.lonepeakportfolios.com have forecast a return to historical levels of $30-$50 a barrel. Political pressure from both Republicans and Democrats might push oil to those levels sooner rather than later. I wonder what the oil guru over at Goldman Sachs is thinking now? He made a very irresponsible call for oil to return to $150 this year and $200 next year after it was clear that a downtrend had begun. I hope that investors in the 53 new commodity ETFs are listening to the 'real' oil data loud and clear; new oil is plentiful and alternatives are rapidly coming on line.

2) Governor Palin will cut spending and she likes eBay (EBAY). If her track record of managing the Alaskan budget is a good indicator, the US dollar (UUP) should be in for a nice ride if this Republican ticket is elected. A balanced budget will restore confidence in the greenback, especially as a slowdown spreads throughout Europe and emerging markets. Governor Palin said,

"That luxury jet was over the top. I put it on eBay. I also drive myself to work. And I thought we could muddle through without the governor's personal chef - although I've got to admit that sometimes my kids sure miss her. I came to office promising to control spending - by request if possible and by veto if necessary. Our state budget is under control. We have a surplus. And I have protected the taxpayers by vetoing wasteful spending: nearly half a billion dollars in vetoes."

3) One theory on the market's negative bias since Labor Day is that fear of an Obama victory will put further burdens on consumers and on the economy. Governor Palin expressed her commitment to lower taxes as she made it clear:

"The Democratic nominee for president supports plans to raise income taxes... raise payroll taxes... raise investment income taxes... raise the death tax... raise business taxes... and increase the tax burden on the American people by hundreds of billions of dollars."

Investors are hoping that the renewed energy brought to the Republican ticket by Sarah Palin might reap tax benefits for Wall Street.

At first glance it would appear that America has lucked out with this candidate who vows to clean up Washington with her fellow maverick, John McCain. She came out of nowhere and has made quite a splash on the national scene. Even the seasoned public speaker Rudy Guliani was left in awe at her natural ability to connect with viewers and relay her specific message. No matter how the media tries to spin it, investors are excited about Sarah Palin. Perhaps her ambition for lower oil, a strong US dollar and lower taxes will lift the plague of pessimism that has hovered over this market for too long. God bless America.

Disclosure: Short USO, Long UUP.


TOPICS: Business/Economy; Editorial; News/Current Events; Politics/Elections
KEYWORDS: 2008; economicpolicy; elections; gop; mccainpalin; palin; republicans; sarahpalin; wallstreet
No matter how the media tries to spin it, investors are excited about Sarah Palin.


1 posted on 09/04/2008 5:08:52 AM PDT by library user
[ Post Reply | Private Reply | View Replies]

To: library user

Obama, Sarah’s got your foreign oil independence - RIGHT HERE!!!!!


2 posted on 09/04/2008 5:12:45 AM PDT by CholeraJoe (Hey Biden! Saracuda's gonna give you a major wedgie in the VP debates!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

I’m positioned similarly: long DUG (ultrashort oil & gas stocks), long UUP, long HOC (refiner).


3 posted on 09/04/2008 5:14:06 AM PDT by oblomov
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

Your wallet : The only place dRATs want to drill.


4 posted on 09/04/2008 5:14:43 AM PDT by IrishMike (Gov Sarah Palin - she's unleashed the fury of the castrated Left)
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

Republicans, all American ticket, no fake Americans allowed.


5 posted on 09/04/2008 5:16:31 AM PDT by Tarpon (Three things matter when selecting a President character, character and character.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

It would be interesting to track oil prices according to the success of the McCain/Palin campaign.

If they experience surges in the polls - I wonder if the price of oil will drop further.


6 posted on 09/04/2008 5:28:14 AM PDT by Scotswife
[ Post Reply | Private Reply | To 1 | View Replies]

To: IrishMike

That should be tagline material. I like it!


7 posted on 09/04/2008 5:30:32 AM PDT by library user (What say you, Messiah?)
[ Post Reply | Private Reply | To 4 | View Replies]

To: library user
I wonder what the oil guru over at Goldman Sachs is thinking now? He made a very irresponsible call for oil to return to $150 this year and $200 next year after it was clear that a downtrend had begun.

Hmmm, lessee, GS has this great big commodities fund that's been booming and taking in tens of billions. Oil drops around $6 and the GS research department proclaims it's going to run up to $200. Prices immediately reverse course, though the speculative frenzy fails to hold and prices resume their plunge.

In a word, this is called "manipulation." GS' research department is expert at it. So is T Boone. He'd give a speech about peak oil and prices would jump the next day, making Pickens a tidy sum in the futures market. In fact, he bragged how he made more money in oil futures than he ever made producing the black gold.

Anything regarding oil or energy that comes from GS or Pickens is about making money for GS or Pickens. It may be perfectly legal, but they're still trying to manipulate the market.

Give someone like Palin a national mic and she can counter the market manipulation. If we get serious about drilling, we can reduce prices to the $50 range. And with advances in technology, peak oil gets put off for another hundred years as we extract our shale oil reserves that exceed all of the oil in Saudi, we explore and drill the OCS, north slope, Arctic, and Federal lands. We don't lack oil. We lack will.

8 posted on 09/04/2008 5:52:25 AM PDT by Entrepreneur (The environmental movement is filled with watermelons - green on the outside, red on the inside)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Entrepreneur

I probably don’t have any business replying to this thread, as I’m just a hick from New Mexico with a high school education. But I have for some time believed that the oil prices have been manipulated and that we need to move away from oil as our main energy source. McCain should come out with a comprehensive energy plan. I’m pretty sure it would win him the election. Sound energy plan = National security


9 posted on 09/04/2008 6:47:15 AM PDT by refermech
[ Post Reply | Private Reply | To 8 | View Replies]

To: library user
Everyone's talking about Sarah Palin. Thank goodness for investors, she is pro Wall Street.

Whereas W thinks Wall Streeters are a bunch of drunks.

I came to office promising to control spending - by request if possible and by veto if necessary. Our state budget is under control. We have a surplus. And I have protected the taxpayers by vetoing wasteful spending: nearly half a billion dollars in vetoes."

You'd never hear W say that. It was always the "new tone in Washington" crap. I can't wait until the Connecticut blueblood, fake cowboy retires.

10 posted on 09/04/2008 6:49:25 AM PDT by Moonman62 (The issue of whether cheap labor makes America great should have been settled by the Civil War.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

I lOVE THE PALIN PICK FOR VP!!!!!!!!!

Her speech was awesome and her TIMING was PERFECT!

Jesse Jackson went to hospital with stomach pains, I think he is UPSET!


11 posted on 09/04/2008 8:03:27 AM PDT by buffyt (Thankful the Palins do not consider the birth of a baby as being punished with a baby like Obama)
[ Post Reply | Private Reply | To 1 | View Replies]

To: library user

Dow down 235. Wall Street’s got a funny way of showing how much they love her.


12 posted on 09/04/2008 8:44:32 AM PDT by gracesdad
[ Post Reply | Private Reply | To 1 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson