Petro Dollars

Careful! The global capital markets are running on new petrodollars...i.e. the free cash flow of perceived wealth and highly leveraged transactions being "forced to find homes." We hear and read this too much lately that the stewards of money have to place so much new money in hedge funds and other areas like private equity. If oil is going to crash and other metals as they are right now....then there will be a material slow down in money velocity that will lead to diminishing asset values and an unwinding down of all the leverage...

Oil, natural gas and copper feels like more of a capitulation than a major shift in fundamentals. Everyone is chasing technology now because its moving! The markets are right on cue as we anticipated in December...lots of increase volume and volatility

The Wall of Worry is still out there....it is just a question of what inning are we in!??

Danny Boy seen here takes it all in stride, again patience will be rewarded!