As gasoline prices continue to surge day after day (and with WTI touching $109 today this will continue for a long time), the peasantry is getting restless. Not only that but it is getting nosy. In fact today some plebs had the temerity to seek answers from the teleprompter over the festering question of just how long will Bernanke, pardon, UK stagflation, pardon, default Portugal, pardon, healthy worldwide demand keep pushing gas prices to $4, then $5, then $6, and eventually to the price paid in Europe: about $9. The response was straight out of Charlie Munger's (non-frontrunning) playbook: "I'm just going to be honest with you. There's not much we can do next week or two weeks from now," the president told workers at a wind turbine plant (one operated by Spanish company Gamesa). "Gas prices? They're going to still fluctuate until we can start making these broader changes, and that's going to take a couple of years to have serious effect." And we doubt Obama's hard core union electorate will be happy at the following stab at Channel Stuffing Motors: "If you're complaining about the price of gas and you're only getting 8 miles a gallon, you know," Obama said laughingly. "You might want to think about a trade-in." Let's hope the people don't get the same idea about the presidential office two years from now, even after the $1 billion spent on TV ads. As to the core question, we were surprised Bill Dudley was not present at Obama's side explaining how deluded complainers should just have a chilled glass of unleaded 98 Octane with their main course of deflationary iPad 2.
More from AP:
The president spoke at a town hall meeting at Gamesa Technology Corp., a Spanish company that makes giant turbines that use wind to generate electricity. According to the White House, it is the first overseas company of its kind to set up shop in the U.S.
Back in Washington, negotiations continued on a budget deal to avert a government shutdown Friday and Obama urged lawmakers to get it done. The president said he wants to cut spending, but not at the expense of cutting priorities like energy and education.
As fuel prices rise because of growing demand worldwide and political unrest in oil-producing nations in North Africa and the Middle East, drivers are feeling pinched at the pump. Republicans blame Obama and his policies and he, in turn, is striving to show the public that he gets it.
In the meantime, if the middle class repeats "Inflation is transitory" three times while starting in the mirror, a genocidal Chairsatan will appear behind it and slice its throat.
Gasoline prices rose another 2 cents Tuesday to a new national average of just over $3.68 a gallon, according to AAA and other sources. Obama's visit to Gamesa was his fourth energy event since March 11. He's scheduled a fifth for Friday in Indianapolis.
It's not all bad news. By the looks of things, er, promises, the gas situation will normalize... some time in 2025.
Obama said he wants to move toward "a future where America is less dependent on foreign oil, more reliant on clean energy produced by workers like you." That will happen by reducing oil imports, tapping domestic energy sources and shifting the nation to renewable and less polluting sources of energy, such as wind, the president says. He has set a goal of reducing oil imports by one-third by 2025.
And following tomorrow's ECB hike, and following Europe's subsequent economic deterioration, the only bank that continues to be uber-loose will be stuck in that mode as it seeks to remain the "dynamo" of ponzi growth, meaning Obama voters who complain about gas prices at $3.70 will soon have even more fun complaining when the gas price ends being an anagram of those three numbers in a a year or so.