Hello EP, regarding Message 21643153 for once I am worried, as opposed to concerned, amused, or curious.
The energy thing is an equal opportunity destroyer of value, unlike the bursting of one bubble or sweeping of another pile of foam.
The energy beast is of course unleashed by cheap money, but also empowered by supply limitations and demand spike.
I think it is CNBC nonsensical to fall into the faulty think that XYZ nation’s GDP is less dependent on energy now than before, because the world, in aggregate, and as a whole, is using more energy now than ever before, and all goods and services, regardless of where they are made or provided, depend on energy as a common denominator.
I think about my pile of gold and platinum, and think about the asset classes, and I say an oil field is better than gold, and gold is better than real estate, and real estate is better then stocks, and much more preferable than bonds.
The puzzle is cash, in the short term. It is also good. The question is “how good”?
Perhaps it is nearly time to short everything except energy, and then slowly dribble out cash in exchange for more energy.
Perhaps it is time to go back to the trade:
Oil, sand, gas, coal, uranium, … platinum, palladium. The stuff that truly and always matter.
Chugs, j |
