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Neuro Artist

Will Monday be black on the stock exchange? Maybe a midsession break or two? Or will the leaders succeed in blowing a bit of confidence in the bubble over the weekend?

We have a Lukoil station quite close to where I live in Istanbul too.

ken

I would love to see Paul Volcker write a book in which he gives his opinion on how his successor (Easy Al) Greenspan (and his fellow central bankers in the world) did in their jobs of implementing responsible monetary policy in the United States (and the rest of the world).

This is one book I would definitely buy.

Keep up the great work on your blog Elaine.

Canuck

Gas stations that were Mobil have moved to the Arctic? What does that mean?

I find the Lukoil and Citgo market penetration very amusing. Where’s that vaunted American pride, “Like A Rock!”

In Canada the National Energy Program decimated Alberta’s economy. It was a barefaced attempt at federal resource control which was not their jurisdiction. The overall effect was to decimate Alberta’s economy.

http://en.wikipedia.org/wiki/
National_Energy_Program

As a vehicle for their program the federal government created Petro-Canada which was to be a fully integrated player in the energy market including retail operations. Needless to say the retail outlets were not well received in Western Canada. Many of the outlets were disguised as independent mom and pop operations in order for Petro-Canada to garner any significant market-share in the west. One outlet had the misfortune to name itself after a local motorcycle gang “Rebel” When the gang came a calling for their consideration the station ended up changing it’s name! It was pretty much 10 years before Petro-Canada finally unmasked all their stations. I still refuse to patronize them, even though the feds have long since divested, tough darts!

It appears Americans are more accepting of attempts at foreign domination of domestic markets, all hail Toyota!

Carlos

Canuck, when they say, "Like A Rock!" I think they meant, a rock on the on the head of the American taxpayer. Do you see Lee Raymond sharing some of that $400 million love he got from Exxon with his fellow Americans? No, no, no, this guy worked damned hard to make it while making everyone else poor. No Hugo Chavez this guy and his ilk. You don't see them selling cheap subsidized oil to poor Americans to keep their homes warm during winter.

blues

The British are going! The British are going! They are beating the U.S. in the race to the bottom. They responded with TV cameras on every street corner. People are dropping dead there because they can't find doctors.

The fast-lane decline of Brittan deserves it's own website. They are showing us our own future!

M. Johns

While I generally agree with your conclusions, Luk Oil is not related in any way to Yukos, as you imply, or to the Russian Government. Luk Oil is 64% owned by a ING Bank Eurasia, a Dutch bank. ("Luk" means "onion" in Russian, reflected in the onion-shaped flame on Luk Oil signs. LUK was coined from the initials of the three oil and gas companies that merged into it.)

TKN

I just heard a Cramer clone, backed up by a couple of academics, on a BBC World Service Business interview, on the housing downturn. The BBC site is a mess and I can't find it there; but the gist of it was:

If the Fed did not lower the rates again the clone would slit his wrists, the Fed could lower rates again easily, people who buy houses are greedy, we could make an example of some stiffs, but most of the mortgages could be shifted to proper banks like Fannie Mae.

I suppose like you say, they could do it again.

Here is an article in last weeks Australian: 'The New Paradigm, Global Imbalances don't Matter':
http://www.theaustralian.news.com.au/story/0,25197,22538386-20142,00.html .
That's because we are making a motza selling strategic materials to China and Russia. (Russia is arming Indonesia, but we don't want to worry about that.)

JSmith

"During this move, the US stock market decided to crash."

No one can ever accuse Elaine of understating her case! It's difficult to compare last week's 2% drop with the 20% drop in 1987.

Since February, Elaine has been yelling, "CRASH!" every time the market drops more than a dozen points. (The sky isn't falling, Chicken Little - that was a walnut.)

Al

Carlos,
Good point about Chavez vs. Raymond and subsidized oil. I remember when Venezuela first did this hearing idiots I work with echoing the MSM's sentiments and saying "He's just doing it for propaganda". This coming from gavachos I work with who've never lacked for nothing in their lives. They hold poor people here in the same contempt they hold Venezuelans or Iraqis.

Elaine Meinel Supkis

I'm sorry, it is Luk oil. And it is Dutch and it is sending us oil to the US and why are we importing GASOLINE?

Elaine Meinel Supkis

I wrote that piece while hammered with a vile headache. I hope to correct everything later....as for the US importing gasoline: it is part of our energy deficit. I saw this in previous figures.

Elaine Meinel Supkis

And now that I have corrected the story, I get to correct M. Johns. Please read the new text: Russia is Luk oil! Hahaha. It is Yukos in a new, pretty European dress. But the oil is very Putin.

spatz

i spoke with an lukoil service station attendent about 2 months ago, he said lukiol will be opening gas service stations in the Northeast USA.

Bokonon

I hope JSmith is right.

The US market is extremely volatile, Elaine posted plenty of evidence of that this year. There has been evidence of the Plunge Protection team in action earlier this year. The problem is now the wolves know the modus operandi of the team and will be waiting. Don't forget to add lower global wheat harvests and higher world oil and wheat prices.

We will know in ten days whether it was (hopefully) just a walnut.

Elaine Meinel Supkis

Yes, Bokonon. There are many people out there who think they know what is going wrong but I stupidly hammer on the things they ignore which is why I talk about the G7 so much and about the FOREX reserves so much.

I read so many stories that focus of one or another item but don't keep these other things in view. Like jugglers who ignore three or four balls while tossing them up and down: we must see ALL of them at once!


The US has a trade deficit. And a budget deficit. And has to import much of our energy. And has virtually no value-added trade that can balance off nearly a trillion in trade deficit.


I said long ago, China gets to end our housing boom and they did when they began to spend their FOREX excesses which was starting in 2006, they no longer gave us a 'free ride'.


And Japan's actions are killing us badly and are nearly totally ignored due to the DOMESTIC depression in Japan which has ZERO effect on their industrial trade which is booming.

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