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"Luck is not chance, it’s toil; fortune’s expensive smile is earned.”

Sunday, June 08, 2008

Sunday Reading List -- My Analysis of Current Events

G-8 to fight oil prices with efficiency, tech

XX Sean's note -- rolling back the speed limits and strict, enforced conservation measures never enter the conversation. We are so doomed if we are led by these babbling idiots for much longer.

Also adding to the problem ...

Some 86 billion barrels of oil and 420 trillion cubic feet of natural gas are beneath America's waters, DOI says. Of those amounts, 19.1 billion barrels of oil and 83.9 trillion cubic feet of gas lie in federally-controlled territorial waters that are completely off-limits to leasing and development.

But don't worry. OPEC says there's plenty of oil on the market.

In other news ...

West Australian Miners Brace for Productivity Drop
Western Australian miners, which supply the world with metals and iron ore, fear sharp falls in productivity and lay-offs after a gas-plant explosion robbed them of power, industry and local government officials said on Sunday.
Western Australia lost about a third of its energy supplies last week when an explosion crippled a gas-handling plant on the tiny island of Varanus, about 100 km (62 miles) off Australia's northwest coast. The Varanus plant, close to offshore gas fields, is operated by a unit of U.S.-based Apache Corp.
Tim Wall, managing director of Apache's Australian unit, said on Sunday he was sticking with an earlier estimate of "months, not weeks" before damage to the plant and associated gas pipelines was repaired and operations could restart.

XX Sean's note -- Western Australia supplies about a third of the world's iron ore, 20% of its gold and copper, zinc and nickel as well. This is very bullish news for the short-term price outlook in these commodities.

ESPN Wonders, Which Will End the World First: Global Warming or Peak Oil

XX Sean's note -- ESPN actually manages to inject some much-needed humor into a serious subject.

The Gods That Failed: How Blind Faith In Markets Has Cost Us Our Future
XX Sean's note
-- More analysts are starting to say the financial class has "betrayed" the middle class. That makes me nervous. I don't want to see a replay of the French revolution, and my guess is, neither do you. That ended badly for all concerned (Robespierre, who led the Reign of Terror that beheaded so many Frenchmen, was himself later dragged to the guillotine. How's that for irony?).

Another example of an article targeting the financial class would be Countdown to $200 Oil Meets Anglo Disease. I agree that America's national interests are not currently well-served by the high finance crowd. But what remedies, exactly, do the agitators have in mind to achieve their goals?

Interestingly, from a historical perspective, the French Revolution is where we get the terms Left Wing and Right Wing, among other things.

Southern Indiana is Under Water
XX Sean's note -- That's big corn/soybean country. Heavy rains have flooded corn crops in Indiana, Ohio, Nebraska and other states, giving farmers their wettest spring since 1993. There are some farmers in Indiana who had already replanted fields a third time, and now we get ANOTHER flood? This is tragic on many levels. First off, for the people involved, and secondly for our national food supply. I'd say this is very bullish for corn and soybeans.

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