Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Technology Stocks & Market Talk With Don Wolanchuk -- Ignore unavailable to you. Want to Upgrade?

To: robert b furman who wrote (16064)	6/2/2004 9:57:15 AM
From: Chip McVickar	Read Replies (3) \| Respond to of 207237

Bob.... Get use to $40-50 bucks for your Texas Tea. <smile> Couple of observations on oil. The price of Crude-oil seems to have a constancy like that of "air" or "sunlight".... it's not supposed to change or disappear. And in fact that's quit true..... with high quality conservation it is a renewable resource that could last indefinitely. The work of astrophysicist Thomas Gold has proven this reality in his studies of the abrogenic origin of petroleum. The price of "Texas Tea" in 2004 dollars would have to rise to $70-80 dollars to match the oil embargo price of the 70's. So it's sustained price above $40 will have an effect on the worlds economy, alter consumption habits, that's a positive economic result, but will create recessionary problems on a world wide basis..... and act like a natural tax to help Greenspan. So this time around, higher oil prices will be deflationary and recessionary and not cause runaway inflation. Because crude-oil is priced in dollars... one can attribute at least 40% of the rise in it's cost to the recent dollar decline. But a sustained $40-50 dollars level would apply some unknown effects to our economy. As an example..... I will not stop using it, but drive slower to conserve.... Perhaps cut back on the price paid for the daily glass of wine..... Nahhhh....!!!! I'll make the old refrigerator last longer. In the end.... I believe the futures market is playing the game as presented and Don's spread on the contract is a great strategy. Furthermore, FWit'sW <smile> I'd be the first dealership to lobby my manufacturer to develop new hybrid trucks and I'd be and the first to promote and offer whatever comes off the line. (I'd be the first to send'm back to if they didn't work....!!!!) <chuckle> My Best, Chip