Posted on 06/09/2022 3:27:00 PM PDT by Hojczyk
We have got a critical situation. I really think we have a problem for the next six months. … [O]nce it gets to these parabolic states, markets can move and they can spike quite a lot.’ — Jeremy Weir, Trafigura
That’s Jeremy Weir, who heads up Trafigura, one of the world’s largest commodity traders, sounding the alarm bell at the FT Global Boardroom conference on Tuesday, according to the Financial Times. He’s the latest bigwig to raise an alert over the potential for global economic turmoil as the Russia-Ukraine war stokes energy-market volatility.
JPMorgan Chase & Co. CEO Jamie Dimon last week warned of a potential economic “hurricane.” Wars, Dimon said, “have unintended consequences, and this happens to be within the commodity markets of the world wheat, oil, gas and stuff like that, which, in my view, will continue. We’re not taking the proper actions to protect Europe from what’s going to happen in oil in the short run, and we’re not taking the proper actions to protect you all. … [I]t almost has to go up in price.”
A parabolic move would be one in which prices accelerate exponentially to the upside. Weir told the conference that oil prices were highly likely to hit $150 a barrel or more in coming months as the market wrestles with strains on supply chains as Russia attempts to shift oil exports away from Europe, the report said.
If we see very high energy prices for a period of time, we will eventually see demand destruction,” Weir said. “It will be problematic to sustain these levels and continue global growth.”
(Excerpt) Read more at marketwatch.com ...
Parabolic is better than logarithmic.
They will use high prices and shortages to force you into an electric car....no matter the cost.
So...don't expect to EVER see gasoline prices at a reasonable level again.
By the time Frump get back into office to rescue us, they'll have wrecked the oil/gas industry and its infrastructure.
This ESG BS will be used to suppress any effort at recovery.
"By the timeTRUMP gets back into office to rescue us, they'll have wrecked the oil/gas industry and its infrastructure."
Early this week I had a few gas stations in my area go up to $5.03 to $5.09 Per gallon in a few days later went down to 4.99 to 4.89 per gallon. Thankfully he must’ve been as a result of some Joe Biden speech that save me four cents a gallon and got it down to a reasonable $4.99. Thank you Biden.
They want to hitch currencies to “carbon”. Not petrodallars.
This is a man-made disaster and we know who and what caused it, don’t we?
Long oil is a short on biden.
There’s a lot of money to be made going long on oil. Truth is in any market there is money to be made make a market call don’t be a pussy about it. Yes there is exposure but if you have the capitol to risk you can make bank. Poor’s gonna poor but the capital class will be alright.
“There’s a lot of money to be made going long on oil. “
Smartist investment I made in the late 1980’s and early 1990’s was buying oil company stock through each company’s dividend reinvestment plan. At the time brokerage fees were high so buying through the DRIP allowed me to avoid the brokerage fee. In addition the dividends reinvested automatically with no fees. Every time I could scrape up some extra money I would send it to the Exxon, Texaco (acquired by Chevron) , Mobil (a fired by Exxon) DRIPs. Over 35 years those small investments, plus the accumulated dividends, became a tidy sum that continues to accumulate and will provide income in my later retirement years.
Over the years I’ve seen friends crash and burn their investing their retirement savings on high flying stocks. I’ve seen economists and market analysts claim peak oil or green energy will kill oil. I’ve continued my slow and steady accumulation through the noise of the doomsayers and the bust and boom cycles of the energy industry.
One thing I know is the green energy infrastructure will not be large enough to replace fossil fuels in my lifetime. The current rate of investment in green energy isn’t large enough to replace fossil fuels over the next 20 years and the major technological problem of storing massive amounts of green energy has not been solved and likely will not be solved in the short term.
Yep. We have a problem for the next 30 months.
Don’t give them any ideas.
“They should all just buy electric cars.” Sneering Jennifer Granholm.
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