The Interventionist

What would appease the new Chairman of WDC, LLC more than anything else? $1.50 gasoline.
How can it be oil is "allowed" to trade by the speculators at $60 a barrel.....who really cares what the markets think or want.

Why does he want this?

1) It would be a multi-hundred billion dollar pick for the American consumer.
2) It would put all the country's primary "enemies" in the cheap seats.
3) We would then in theory spend materially less on the military.
4) The US military remember is the largest consumer of hydrocarbons....so we cut our fuel bill in half.
5) It would be good for the inflation theme....it takes it away.
6) It would cause gold to fall maybe dramatically....also removing "threats" of inflation.
7) It would cause the US Dollar to rally.
8) It would put a firm bid in the US Treasuries......(because of the perceived) no inflation.
9) It would be good for the Chinese...consumer and government...so they can buy more of our debt.
10) It would be healthy for the American Banks...they need it right?

It would "work" for a year or two.....then bury the country.....for lack of hydro carbon supply and pending shortages....it would kill future development and maintenance....

But who cares... this chain gang is not looking past the every other week $100 billion dollar road show... Just like a severe drug addict...they have lost touch with reality.

The worst possible scenario continues to unfold......anytime you finance long term problems (and allow them to compound) with short term debt.....(like Germany did) it all ends quickly and not very pretty....Look at Japan 20 years later....although their demographics are much worse than ours.

Did you know 2008 GDP for Mexico and Australia were the same....at one trillion USD....and that Sweden, Saudi Arabia, Norway and Austria were close to one another around $450 billion.


Barkly seen here going for a car ride....he liked when we drove but he never like being taken for a ride.