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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: UncleBigs who wrote (73861)	11/8/2006 12:09:27 PM
From: bond_bubble	Respond to of 110194

PPI vs CPI Theory proof: Finally, even oil companies are saying it is not profitable to expand production!!! (i.e production cost is getting higher than selling cost. If interest rates were to double, even if steel prices fall, overall (interest servicing) cost is going to be high!!): marketwatch.com Labor and manufacturing costs have escalated so sharply this past year that projects' price tags are nearly doubling from when they were announced. Where the industry once thought it could complete a project at $10,000 per barrel of oil, actual costs are closer to $18,000 to $20,000, said Doug Terreson, managing director at Morgan Stanley, at a conference in Houston last week.