Technological advances (such as horizontal drilling and fracturing) have enabled natural gas and oil companies to increase production levels. But since natural resources are finite, the increased productions rates don't automatically increase reserves--and won't extend their production lives. In other words, production forecasts will proven to be overly optimistic.
Hence, the thesis of a renaissance in US energy production will be short-lived. Which means our debts and deficits still have to be addressed, because energy production alone will not improve our economy in the long-term, as the cheerleaders insist. We won't magically grow our economy from increased energy exports--because there isn't as much oil as the pundits have glowingly predicted.
http://shalebubble.org/wp-content/uploads/2013/02/SWS-report-FINAL.pdf
Monday, March 11, 2013
Sunday, March 10, 2013
Friday, March 8, 2013
Thursday, March 7, 2013
How Many Billions Of Drug-Laundered Money Does It Take To Shut Down A Bank?
http://www.zerohedge.com/news/2013-03-07/how-many-billions-drug-laundered-money-does-it-take-shut-down-bank
"if you're caught with an ounce of cocaine, the chances are good you're going to go to jail... for the rest of your life. But evidently, if you launder nearly a billion dollars for drug cartels and violate our international sanctions, your company pays a fine and you go home and sleep in your own bed at night - I think that's fundamentally wrong." - Elizabeth Warren
Labels:
drug cartels,
Elizabeth Warren,
money laundering
Biggest Wealth On Planet Now Entering Gold & Silver Markets
I talked to Rick Rule at one of the Hard Assets conference. He's definitely a gold bug, and a former Goldman Sachs guy. If he says big money is looking to move into gold, he's not talking about Joey Six-Pack's financial advisor.
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/3/7_Biggest_Wealth_On_Planet_Now_Entering_Gold_%26_Silver_Markets.html
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/3/7_Biggest_Wealth_On_Planet_Now_Entering_Gold_%26_Silver_Markets.html
Labels:
biggest wealth,
gold,
on planet,
silver
Volcker: Fed Faces Tough Job of Removing the Punch Bowl
Former Fed Chairman Paul Volcker is speaking the truth on the difficulty of the Fed reining in stimulus. It's the politically correct speak for "QE to infinity." He's saying it--without saying it--because he can't say it.
http://www.moneynews.com/StreetTalk/Volcker-Fed-Punch-Bowl/2013/03/04/id/493013?s=al&promo_code=12A9D-1
http://www.moneynews.com/StreetTalk/Volcker-Fed-Punch-Bowl/2013/03/04/id/493013?s=al&promo_code=12A9D-1
Labels:
Fed,
Paul Volcker,
QE,
removing punch bowl,
stimulus,
tough job
Korea Joins Russia, Kazakhstan in Boosting Gold Holdings
Yes, central banks are buying gold at a record pace. And just because George Soros is selling his GLD ETF holdings (paper gold), doesn't mean he isn't accumulating the physical metal. This is just another head fake by the media attempting to scare weak hands out of their physical gold holdings. Oh, and Goldman Sachs is telling clients gold will decline. That's a contrarian signal that it's time to buy. After all, we all know how Goldman Sachs takes care of their clients above their own proprietary trading, right?
http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html
http://www.bloomberg.com/news/2013-03-05/bank-of-korea-boosts-gold-reserves-as-central-banks-buy.html
Labels:
boost,
gold holdings,
Goldman Sachs,
Kazakhstan,
Korea,
Russia
Transcript: Attorney General Eric Holder on 'Too Big to Jail'
http://www.americanbanker.com/issues/178_45/transcript-attorney-general-eric-holder-on-too-big-to-jail-1057295-1.html?zkPrintable=1&nopagination=1
But I am concerned that the size of some of these institutions becomes so large that it does become difficult for us to prosecute them when we are hit with indications that if we do prosecute — if we do bring a criminal charge — it will have a negative impact on the national economy, perhaps even the world economy. I think that is a function of the fact that some of these institutions have become too large. - US Attorney General, Eric Holder
Public College Tuition Soars By Most Ever (Or Searching For Deflation In All The Wrong Places)
http://www.zerohedge.com/news/2013-03-06/public-college-tuition-soars-most-ever-or-searching-deflation-all-wrong-places
As the title, and chart, both imply, the simple reason why college tuition is up 1200% in 35 years, while healthcare fees have soared by a neat 600% or double the official cumulative inflation, is two words: "cheap credit."
The average amount that students at public colleges paid in tuition, after state and institutional grants and scholarships, climbed 8.3% last year, the biggest jump on record, according to a report based on data from all public institutions in all 50 states to be released Wednesday by the State Higher Education Executive Officers Association. Median tuition rose 4.5%.
Labels:
college tuition,
healthcare,
inflation
Wednesday, March 6, 2013
Jim Sinclair - Paper Markets To Disappear As Gold War Rages
Just to give you a background on Jim Sinclair, he declared gold would be $1650 when it was under $300 ten years ago. Think about that for a minute, and how outlandish that sounds to an untrained eye. Lo and behold, he was right, as gold went beyond his price target all the way up to $1923 in 2011.
If you choose to dismiss it, realize that if you had $1000 of gold back then, you'd have $6000 today. Or $1 million then would be worth $6 million today. In other words, the appreciation scales up, and if anybody had followed his advice, they'd be in a much better place today. Sinclair's call was not insignificant. He talks the talk, and walks the walk.
Sinclair is now saying the next upside target is $3500 and higher, which is equally hyperbolic, right? Not really. A move from $280 to $1650 is huge, a six-fold rise. Getting to $3500 from here is merely a double. And the Fed is printing many more trillions today than they did back in 2002. That price target, as crazy as it sounds initially, is not far-fetched at all when looking through the prism of the trillions in currency units the world's central banks are creating. In a currency war, the race to debase is extremely constructive for the price of gold.
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/3/6_Jim_Sinclair_-_Paper_Markets_To_Disappear_As_Gold_War_Rages.html
If you choose to dismiss it, realize that if you had $1000 of gold back then, you'd have $6000 today. Or $1 million then would be worth $6 million today. In other words, the appreciation scales up, and if anybody had followed his advice, they'd be in a much better place today. Sinclair's call was not insignificant. He talks the talk, and walks the walk.
Sinclair is now saying the next upside target is $3500 and higher, which is equally hyperbolic, right? Not really. A move from $280 to $1650 is huge, a six-fold rise. Getting to $3500 from here is merely a double. And the Fed is printing many more trillions today than they did back in 2002. That price target, as crazy as it sounds initially, is not far-fetched at all when looking through the prism of the trillions in currency units the world's central banks are creating. In a currency war, the race to debase is extremely constructive for the price of gold.
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/3/6_Jim_Sinclair_-_Paper_Markets_To_Disappear_As_Gold_War_Rages.html
Labels:
disappear,
gold war rages,
Jim Sinclair,
paper markets
Tuesday, March 5, 2013
Gold And The Next Great Monetary Easing
Wow, a Morgan Stanley analyst is bullish on gold. That's enough to get one fired on Wall Street.
http://www.zerohedge.com/news/2013-03-05/gold-and-next-great-monetary-easing
http://www.zerohedge.com/news/2013-03-05/gold-and-next-great-monetary-easing
Labels:
gold,
great,
monetary easing,
next
Monday, March 4, 2013
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