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Andrei

Elaine,

You state:

This hoarding has bid up the value of gold, platinum, grains, energy and other things needed by industrialists of government agencies.Once the hoarding is done, the prices of these things will also collapse.

I think that you are making a big mistake by lumping commodities together. Gold - yes, borrowing and hording is taking place but oil and grains - no way. The world is down to 1.7 months of food in storage - an all time low. One crop failure in any significant producing area and millions and maybe even billions die. Absolutely no hording in this commodity, in fact the opposite is true - JIT has resulted in dangerously low inventories. Commercial energy reserves (oil and gas) are down to around 21 days in the US - if you subtract out what is needed for the pipe lines to function you are down to 1 day. If everyone in the northeast that had less than 1/2 of a tank topped off there would be instant shortages. Even if you count the strategic reserves and refined the last drop - you only have a couple of months. Oil in storage on a world wide basis is also plummeting and falling to near all time lows while production of crude has fallen by over 2 million barrels per day from an all time high set 2 years ago. Light sweet has been falling for nearly three years. Even the "all liquids" which contains lots double measuring has been flat. This is all quite amazing given the record price of oil.

On your financial analysis - thanks - your insights are appreciated.

leadfoot

Regarding our energy situation in America, I can't wait until the left-wing, liberal, environmental handicapped Democrats get control of congress and the presidency. They will throw every roadblock they can find in the way of any new development of our own resources, all the time saying we must protect the environment, stop fouling the air, while on the other hand, they will have loads of 'face time' on the networks saying, "America must be energy independent". The madness that Elaine is describing in the financial world, which was caused by corruption at all levels of the corporate, bureaucratic and political levels will eventually creep into the real world where we all live and work....it will be hell when the 'piper' has to be paid. All the 'smart' money has left the country....now the vultures are circling, attempting to pick the bones of the 'baby boomers' who have ALL THAT MONEY locked up in various institutions, 401-k's, retirement funds, [woefully underfunded] etc. etc. The foxes and vultures have surrounded the cage....and not much will escape their grasp. 'Boomers', with rare exception, are dreaming if they think they will have much to retire on.

Elaine Meinel Supkis

Let's use up the very last of our oil as fast as possible, right?


Talk about insane. Conservation is like saving money: you aren't instantly gratified. But the future thanks you for this.

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