LJ

Only These Three Things Can Halt Oil's Advance

There is plenty of evidence that oil exploration or mining activities can induce man-made earthquakes. The most recent example was the little known earthquake in Germany caused by coal mining (see the following link). The mainstream scientists may argue against this. Whether they agree or not, it is unwise to risk our lives and our future in favor of the economy.

www.planetark.org/dail...

Hedge Funds See Best Prospects in Emerging Markets

We are now living in (or heading to) the winter time of the Kondratieff long wave cycle. If Kondratieff's economic model is as predictive as it used to be, this era tends to favor low-value-added assets. Low-value-added assets are predominately the products of the less-developed emerging economies. During this transition, the developed countries will continue to deplete the resources of the third world countries because of their greed. It will be interesting to see how long they can defy the gravity of fundamentals.

Airlines Set to Rally on Oil Pullback

This doesn't seem like a good idea for long term. Just like many financial companies, many American airlines were short oil. Southwest is probably the only exception. Oil price may drop for technical reasons, but the problem is that the global oil production probably has already reached the Hubbert peak, where further increase in oil production will meet with disproportionally higher energy costs.

OPEC Signals U.S. Rally

There is a reason to believe that the global oil production has already reached a critical limit, as predicted by Marion King Hubbert. There will be some oil deposits in some unreachable depth, but beyond this limit, the amount of energy required to process the oil into a combustible fuel considerably exceeds the amount of energy produced by the oil.

U.S. Dollar Rallies On U.S. Corporate Earnings

The dollar rallies because of the yen weakness. The BOJ just released a report last Friday blaming the material costs that weaken the Japanese economy. The hedge funds use this news as an opportunity to short-sell yen and pump up the stock bubble.

Why Do Oil Prices Keep Rising?

The money supply now experiences a kind of parabolic growth. There is simply too much money in the system. Dollar looks like a bubble waiting to burst.

Why Do Oil Prices Keep Rising?

Both the money supply now experience a kind of parabolic growth. There is simply too much money in the system.

China: Minimum Reserve Requirements Jump to 16%

Chinesestalkingpetti, thanks for your revealing the truth..

China: Hot Money Inflows Coming in Fast and Furious

The total direct outbound investment from China was $92 billion last year. Together with their QDII investment and the corrupt money invested in dollar-denominated paper assets (including the fraudulent mortgage backed securities), the total capital outflow amounts to more than $200 billion.

Unless you have not been educated to a level to understand what capital outflow means, this $120 billion inflow is nothing.

Why Gold is Likely to Keep Moving Higher

Gold has industrial uses. Integrated circuits and MMIC's are metalized with gold before final assembly of the package. Superconducting materials are made with gold alloys. In many industrial applications, silver cannot replace gold because of the following reasons: 1) gold has a much higher melting point; and 2) gold never forms any oxide when subjected to heat.

Waiting for the Great Wall of Chinese Liquidity

It is not a good time to invest in stocks. The current stock bubble in the US is being fueled by the liquidity from carry trades and short sales of commodity contracts. The stock bubble will collapse if the US dollar is weakened against yen for whatever reasons.

Waiting for the Great Wall of Chinese Liquidity

Chinese investors have already lost lots of money in their QDII investments. IMO, by now, they should have learned a lesson.

Lessons to Be Learned From My Iceland Mistake

I read your article recommending Iceland before, but I did not invest in Iceland -- not even government bonds or its currency. For me, the Icelandic currency is overvalued by any standard. Another problem is: the country is surviving on livestock-related businesses. Livestock is believed to be a major threat to environment.

How Commodity Prices Are Hurting Global Economies

The agricultural commodity prices depend not only on monetary policies, but also on weather. Right now, many farmers in China or Vietnam earn no more than US$15 per day. With such a low income, they have to work continuously for three years before they can afford an Apple computer. This is unfair not only for them, but also for any international company wishing to expand its presence in the developing economies.

I believe we are living in a different era. Perhaps, it is a time for the low-paid farmers to get rich.

We've Got Oil

Remember, oil is not exclusively traded in dollar only. Even if dollar falls, oil priced in Philippines peso has not risen very much.