"...so many still maintain that America is the greatest nation in the world. They swear that America represents all that is good; freedom, democracy, merit based capitalism and the rights of the individual. That is true America does represent such things. However, it is fraudulent to consider our current nation America. America was a concept that promoted all that is good. And so it would seem that the nation in which they find themselves cannot be America. Their nation today represents the will of the political class at all costs, period. Their sole motivation is themselves. Very different from America. And so perhaps a renaming on the nation is required, at least until or if the people decide to take it back and reintroduce the world to the concept that is America for as discussed below you cannot destroy a concept and so there is hope to bring her back. But until then we need a name for this geographic region and its new societal system... It seems"Neoconica" is most fitting."
Most commentators remain in a state of denial about the enormity of the price fall underway. Some, failing to understand the powerful forces now unleashed, even believe prices may quickly recover. Our view is that oil prices are likely to continue falling to $50/bbl and probably lower in H1 2015, in the absence of OPEC cutbacks or other supply disruption. Critically, China’s slowdown under President Xi’s New Normal economic policy means its demand growth will be a fraction of that seen in the past. This will create a demand shock equivalent to the supply shock seen in 1973 during the Arab oil boycott. Today's ageing Boomers mean that demand is weakening at a time when the world faces an energy supply glut. This will effectively reverse the 1973 position and lead to the arrival of a deflationary mindset.... Prices have so far fallen $40/bbl from $105/bbl since we first argued in mid-August that a Great Unwinding was now underway. And there have been no production cutbacks around the world in response, or sudden jumps in demand. So prices may well need to fall the same amount again.
Just when you thought you had seen it all, Islamic State militants turn up the amplifier of terror to 11. As The Mirror reports, ISIS is launching bombs containing live scorpions as the latest terror weapon in Iraq. Canisters of the creatures are being blasted into towns and villages, according to a British military expert who has just returned from the country. Hamish de Bretton-Gordon, ex-head of chemical and biological weapons for the Army and Nato, said: "it's madness. IS have improvised devices to launch them." The weapon harks back to the scorpions stuffed into pots and launched by Iraqis thousands of years ago – in 198 AD.
Slowing the rebalancing and creating further downside risk is a very strong consensus view that this pull back is temporary and that oil prices will quickly rebound as they did in 2009. According to a recent Bloomberg survey, the median WTI forecast for 2016 is $86/bbl (even we forecast it going back to $80/bbl). All of these forecasts are based upon now outdated cost data that is shifting as fast as the price. It is precisely this strong view for a rebound in prices and the behavior it creates, that not only suggests that oil prices can go lower for longer, but also that the new normal is far lower than we thought just one month ago. Instead of optimizing against a lower price environment, many oil producers are trying to position themselves for the rebound in prices
In space, no one can hear you scream... unless you happen to be Venezuela's (soon to be former) leader Nicolas Maduro, who has been doing a lot of screaming this morning following news that UAE's Energy Minister Suhail Al-Mazrouei said OPEC will stand by its decision not to cut crude output "even if oil prices fall as low as $40 a barrel" and will wait at least three months before considering an emergency meeting.
Following the passage of the Crominbus on Thursday night in a last minute "nailbiter" when the Federal spending bill got just one vote more than the required majority, it was off to the Senate. And late last night, proving that the Senate can work on weekends when a piece of Citigroup-penned legislation is on the table, in a 56-40 vote (21 democrats, 18 republicans, 1 independent voting No), the Senate joined the House in voting itself $1.1 trillion for the next 9 months, with the bill now heading for the final signature: Obama's. There is some argument whether the executive will join the legislative in confirming the US government is now (and always has been) merely a pupet of Wall Street, although we expect all it will take Jamie Dimon is just one more phone call of "encouragement" to Obama to make sure Wall Street's will is done in the White House.
HELLO ... MAINSTREAM MEDIA ... ANYONE HOME?
The only thing that saves us from the bureaucracy is its inefficiency
On the wall of George Orwell's Ministry of Truth from his novel 1984 there were three slogans: "WAR IS PEACE, FREEDOM IS SLAVERY, IGNORANCE IS STRENGTH" It occurred to us that these apply just a little bit too well to the way the Washington, DC establishment operates. But there is a fourth slogan they need to add to the wall of Washington's Ministry of Truth. It is this: DEFEAT IS VICTORY!
.Gov Tortured and Killed Innocent People for the Specific Purpose of Producing False Propaganda (U.S. Used C-O-M-M-U-N-I-S-T Techniques Specifically Designed to Produce F-A-L-S-E Confessions)
Congress Desperately Tries to Stir Up War ... Even Though Public Doesn't Want It
"This small group of horrible people are willing to put the world on the line so their lineage can continue to rule the world while the rest of us struggle to simply stop the financial bleeding that has become a 15 year epidemic. This all sounds like the stuff of fiction novels but unfortunately the facts tell us this is all too real. What is hard for me to believe is that we so readily ignore and deny the most essential lessons of history. Perhaps the foremost being that the political class will always be willing to sacrifice the working class in order to retain its power."
Yesterday the US House passed what I consider to be one of the worst pieces of legislation ever. H. Res. 758 was billed as a resolution “strongly condemning the actions of the Russian Federation, under President Vladimir Putin, which has carried out a policy of aggression against neighboring countries aimed at political and economic domination.” In fact, the bill was 16 pages of war propaganda that should have made even neocons blush, if they were capable of such a thing.