THERE IS CLEARLY A DISCONNECT BETWEEN OIL, GOLD AND THE DOLLAR IN THE LAST FEW DAZE...
WHATS UP WITH THAT....
THE NOTION THAT OIL IS SOMEHOW "DEMAND DRIVEN" AND THEREFORE IS DECLINING DOES NOT HAVE THE RING OF TRUTH... IN FACT IT SMELLS OF MARKET MANIPULATION...
EVERYONE KNOWS THAT WHILE DEMAND IS "OFF" IT'S NOT OFF BY 2/3'S AS THE PRICE OF OIL WOULD INDICATE BASICALLY GOING FROM 140 TO 40 IN 2 1/2 MONTHS...
SOMETHING ELSE IS GOING ON...
CLEARLY HIGH GAS PRICES WERE THE DEATH KNELL OF THE AMERICAN CONSUMER...FORGET THE SUB-PRIME BULLSHIT...
BUT THE HEDGIES WERE LEVERAGE UP TO THE HILT ON OIL...AND THEY HAD TO BE TAKEN DOWN...
MY HUNCH IS THAT THERE WAS A SECRET PLAN TO DRIVE DOWN OIL...AT SOME LEVEL... BECAUSE THE COMMODITIES ACTION WE ARE SEEING JUST DOES NOT HAVE THE RING OF TRUTH...
THE DOLLAR AND GOLD ARE BEHAVING NORMALLY AND ARE BACK TO STRIKING DISTANCE OF THEIR SUMMER PRICES...
THE PLUNGING DOLLAR AT 143 ON THE EURO IS NOT FAR FROM IT'S PRIOR LOW...
AND GOLD AT 840 IS ONLY ABOUT 100 OFF ITS HIGH...WHICH IS IN STRIKING DISTANCE.
BUT OIL IS STILL DOWN FROM 140 TO 40...
AND IT FELL $3 TODAY...
(SEE TITLE LINK FOR CHART...)
IF YOU THINK THIS IS NORMAL...? YOU'D PROBABLY HAVE LIKED BERNIE'S HEDGE FUND...
SOMETHING IS GOING TO HAVE TO BREAK SOON...
MY HUNCH IS THAT IF OIL IS BEING HELD DOWN DELIBERATELY AND ARTIFICIALLY... ANY SNAP BACK RALLY COULD BE QUITE A SHOCK TO THE AMERICAN ECONOMY...
THE FED HAD BEST START WATCHING THE DOLLAR AND THE GOLD PRICE...CAREFULLY....AS BOTH ARE INDICATING THAT THIS ZERO RATE POLICY COULD BE CAUSING MORE PROBLEMS SOONER RATHER THAN LATER...
