DPC “Grant’s Tomb. Rubber-neck auto on Riverside Drive, New York” 1911 Hey! Who said economics can’t be fun?! How is it not absolutely brilliant that in the face of a collapsing shale oil industry – or at least, for the moment, of its financing model -, and the worst week for the Dow since 2011, the Thomson Reuters/UofMichigan consumer sentiment index shows American consumers are more optimistic than they’ve been in 8 years, and that “more consumers volunteered good news
Read More...Marjory Collins “Italian girls watching US Army parade on Mott Street, New York” Aug 1942 • The Federal Reserve’s Language Lessons (Reuters) • After Years Of Doubts, Americans Turn More Bullish On Economy (Reuters) • Oil Seen Dropping to $55 ($45?) Next Week as Price Rout Deepens (Bloomberg) • US Stocks Tumble to Cap Dow’s Worst Week Since 2011 (Bloomberg) • Oil Rot Spreading in Credit (Bloomberg) • We Have Just Escaped The Earth’s Gravity And Are Now In Space
Read More...DPC Youngstown, Ohio. Steel mill and Mahoning River 1902 Please allow me to revert back again a little to what I wrote earlier today in Will Oil Kill The Zombies? I think we need to be clear on what’s going on here. The oil market actually works. And that’s a rarity in today’s world of manipulated everything, of no mark to market, of huge stock buybacks financed by zero interest rates, you know the story. We know that the market
Read More...Jack Delano Atchison, Topeka & Santa Fe train at Emporia, Kansas Mar 1943 • IEA Warns On Social Unrest As It Cuts 2015 Oil Demand Growth Forecast (CNBC) • Oil Drops Below $60 After Saudis Question Need to Cut (Bloomberg) • Oil Pressure Could Sock It To Stocks (CNBC) • Fed Bubble Bursts in $550 Billion of Energy Debt (Bloomberg) • Oil Bust Contagion Spreads to Wall Street and the Banks (WolfStreet) • Ruble Consolation Gets Putin Record Oil Income
Read More...Ben Shahn Quick lunch stand in Plain City, Ohio Aug 1938 Oil producer Russia hikes rates to 10.5% as the ruble continues to plunge, while fellow producer Norway does the opposite, and cuts its rates, but also sees its currency plummet. As Greek stocks lose another 7.35% after Tuesday’s 13% loss on rumors about what the left leaning Syriza party will or will not do if it wins upcoming elections, and virtually anonymous Dubai drops 7.42%. We all know the
Read More...DPC Pine Street below Kearney after the great San Francisco earthquake and fire 1906 • Oil Plunge Rips Through Markets as Investors Seek Bottom (Bloomberg) • Bank Of America Sees $50 Oil As OPEC Dies (AEP) • Name That Chart! Oil Supply Or Demand Edition (Zero Hedge) • Dow Down Triple Digits As Oil Hits Multi-Year Lows (CNBC) • Steen Jakobsen: The US Could Bail Out Its Own Oil Sector (CNBC) • China’s Wild Market Swings: This Is Just The
Read More...Christopher Helin Fisk Service garage, San Francisco 1934 Interesting – if not outrageous – remarks today from Steen Jakobsen at Saxo Bank in Denmark, always good for some fresh insights, and a statement from him that I would like to decorate with a few question marks. As WTI oil looks threatening to break through $60 a barrel with another 5% loss today, let’s first take a look at Saxo’s, and hence Steen’s, Outrageous Predictions, via Tyler Durden. We can take
Read More...Marjory Collins “Crowds at Pennsylvania Station, New York” Aug 1942 • China Inflation Eases To Five-Year Low (BBC) • Popping The Chinese Stock Market Mania (Zero Hedge) • Easy Credit Feeds Risky Margin Trades In Chinese Stocks (Reuters) • Why Beijing’s Troubles Could Get a Lot Worse (Barron’s) • OPEC Says 2015 Demand for Its Crude Will Be Weakest in 12 Years (Bloomberg) • Don’t Look For Oil Glut To End Any Time Soon (CNBC) • Oil Resumes Drop as
Read More...DPC North approach, Pedro Miguel Lock, Panama Canal 1915 And on the Seventh Day, God sold his shares? What do you think, is He short the market? Short oil? Oil does look up a tad, but then the dollar lost about a percent vs the euro, so that definitely feels like a headfake from where I’m sitting. The dollar lost more vs the euro than oil gained against the dollar. Gold and silver have somewhat more solid looking gains, but
Read More...Martha McMillan Roberts Three sisters at Cherry Blossom Festival, Washington, DC” May 1941 • Global Stocks Decline; Shanghai Slides 5% (CNBC) • China’s Stock Mania Decouples From Economic Reality (AEP) • Yuan Headed For Biggest Single-Day Loss Since 2008 (CNBC) • China Likely To Lower Growth Target To 7% For 2015 (MarketWatch) • A Universe Beneath Our Feet: 1 Million People Live Underground In Beijing (NPR) • Oil Drops as Deeper OPEC Discounts Signal Fight for Market Share (Bloomberg) •
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