The new economic data suggests the US economy is slipping. If this is a trend then quantitative easing and raising the interest rate should be out of the question, unless they want a full blown 2008 bush Jr. rerun.
The problem is not a shortage of goods and services, it is the US consumer has little money left after necessary expenditure to spend on them.
It defies sensibilities of why the R. party doesn't get this. Trickle down economics is a failure of gigantic proportions. Since the 80's the shrinking middle class and the rising poor class is a glaring testimony of this. The numbers of small investors have shrunk since the great recession, and with downward pressure on their income, they can't return.
Since the double top formed on Tuesday ANV stock and volume has been trending down, This suggests to me run up on high volume was short covering. Any comments welcomed. Just keep remarks pertinent to the subject.
"Tighter spacing was the primary reason EOG boosted its estimate for how much oil and gas it may be able to get out of the Eagle Ford by 1 billion barrels in the past year. The company’s use of spacing and other techniques has helped top operators such as EOG reduce their costs to US$46 a barrel in the formation, according to Wells Fargo & Co. That’s about 32% below the average across the area estimated by ITG."
Many countries are abandoning austerity, that is good for oil, but it will take about a year for that to work its way to a noticeable increase in consumption.
Google the above subject line for the full article. The interesting part is they think they can bring down the cost of fracking.
Because the rewards go to the CEO's not the retail investor. We get a lower standard of living while they become richer than King Solomon.
According to gw BuSh regime the US needed to invade Iraq because they had WMD's, and would use them on us. Scary talk from them to justify the unjustifiable, like don't let a Mushroom cloud be the warning. Facts, the UN inspectors on the ground emphatically denied that Iraq could make a nuke or were hiding Chemical WMD. The inspectors said that what gw BuSh was saying about how their inspections were being done, was in fact lies, their inspections were for the most part unhindered and thorough.. After the invasion the US found records in Iraq predating the invasion proved Saddam had complied with the treaty of the first invasion signed by GHW Bush. There were no WMD;s of any kind and Iraq had not pursued nuclear weapons. Latter gw BuSh admitted there wasn't any found and that the real reason for invading was oil. Anyone can easily verify all of this, in fact you tube has clips that show him making the statement. But, righities don't like truths it is to them as light is to vampires. It would destroy their reasoning so they chose the lies and an alternative reality.
Some of the realities
22 Vets commit suicide each day. An unprecedented tax cut during time of war. At least 3 trillion dollars of debt, the mid east bordering on complete melt down. And the righties think we should invade again that another ten years and thousands of more US soldiers lives lost, and some trillions of debt added will fix the problem of their making. R. are idiots and D; are fools for not pounding the truth about it like the R. pounded the lies about it.
If anyone in the past fifty years should have been impeached it was the little george. Now the R. make games out of threatening to impeach P. Obama if he uses executive orders for his ends, even though they have been used by his predecessors without threats of any kind. And to think the D. could have put a dagger in the heat of the R. Paty if they had just got off their lazy butts and voted.
I was talking about today's bump. Just so you know I'm not an expert on reading charts. But, I've seen that kind of chart many times and generally happens at the end of a rally. If it rises past the present dip, that means back filling as another poster pointed out, however volume dropped off which also suggests to me the rally is coming to an end.
I'm staying away from precious metals for now, because some are saying the USD will only strengthen from here, and that will not be good for gold. On the other side of that is the Swiss as you mentioned, ISIS who is using gold for their currency, and a lot of uncertainty in Europe, Africa and the mid east caused by militants could send people to gold and the USD. In other words toady gold isn't just a haven from inflation, people may be turning to gold and the USD for a safe haven.
first it spiked, dropped, rebounded, dropped, rebounded again but the second rebound wasn't as high as the first bounce after the spike, a chart like that usually means the stock will decline from here. I suspect it is either programed trading or shorts that cause such buying and selling not the retail investor.
In the real world a few thousand support US troops is a bit different than the R. fantasy of 150,000 ground troops defeating and securing the area. If you want to bring up lying than gw BuSh and FrankenCheney take the cake on that, "Iraqi oil will pay for the war" last I heard the US owes at least three trillion dollars plus interest, and Saddam's non existent WMD's for another example. P. Obama's unintentional lie helped millions US citizens get health care, some for the first time in their lives, and insurance companies can no longer deny health care to people with preconditions or lengthy delays and flatly denying care that doctors say their patients need.
The main thing I don't like about P. Obama is his free trade agenda, the kind that reagan started and has been carried forward by all US presidents since.
Republicans, I cringe ever time I hear them say we should invade Iraq AGAIN. Most don't even know the difference between the Kurds, Shiites, and Sunnis.
"Nebraska's Public Service Commission was created more than a century ago to curb the political influence of railroad barons. Later, its work was extended to regulating pipelines. But this is an unusual case involving a big pipeline. And some Keystone XL supporters wanted to give the job of approving it to the governor. In 2012, the state legislature passed a bill that did that, and much of this Supreme Court case is over whether it was constitutional. Republican State Senator Jim Smith sponsored Legislative Bill 116"
Google the subject line for the full article.
I don't know where this would go say "IF" it passes the Senate and POTUS didn't veto it. I don't know but I would guess if POTUS signed it to law, there would still be the unsettled matter of the Nebraska Supreme Court and it may well be left up to the Supreme Court of the US to sort it out, which would be years away.
Two thirds of a hundred Senators would be 66 2/3, or 67 votes. In the senate what is called a super majority would be needed to override a POTUS veto, that is sixty votes, not two thirds.
POTUS has said numerous times that he will wait out the due process, which could be a cover or could be the truth. Either way Nebraska's Supreme Court hasn't decided if their R. Governor acted legally when he changed the states constitution to allow him to seize private property for the pipeline.
And the latter shows the real face of the R. party who make great noises about their being for state rights and private property rights, in reality their votes prove they are stepping all over them and are backing corporations wishes over state and private property rights. And that is something the D. should remember and use during the next elections.
I'd appreciate it if you explained how gold would implode derivatives. Derivatives are back and worse than before the 2008 collapse, Buffet once called them a ticking time bomb. I haven't heard him say anything this time around. He just keeps on acquiring companies as though he doesn't think there will be another financial melt down. Maybe he thinks there is no other game in town. Russia and China both are setting up alternatives to the IMF and other western institutes, why would they do that if they were happy with the US ways of doing business, it appears they either don't like it or they are in financial war with the US. In my opinion the ability of the consumer to buy products are shrinking, they are the economy and they increasingly don't have money to spend, the rich are getting vastly richer but for what good? Some major names are saying they are worried about that very thing, who will they be able to sell their products to, if wages continue to fall while robots replace much of the labor force, which in turn adds more people seeking less and less jobs, that leads to lower wages.
As extracting shale gas became easier, extraction costs fell. With new discoveries, production increased. Now, much more volume of natural gas is available for way cheaper than a decade ago. As natural gas prices fell, natural gas gained an edge versus coal—especially in the eastern and southern states. A decade ago, coal produced more than half the country’s electricity. Its share fell to 36% in June 2012, when natural gas prices plummeted close to all-time lows. The draft rules came out in June 2013.
So you can see that the move from coal to natural gas started before Obama and Republicans’ deadlock over new EPA regulations. The regulations are piling onto old troubles.
According to EIA (Energy Information Administration) projections, shale gas will keep growing. Plus, older coal-fired power plants are retiring and getting replaced. According the EIA, natural gas will surpass coal as the preferred fuel for electricity generation.
A change in the EPA’s regulations could prolong the lives of coal producers (KOL) like Alpha Natural Resources (ANR), Arch Coal (ACI), Peabody Energy (BTU), and Cloud Peak Energy (CLD). But no change could guarantee their survival."
Plus Natural Gas electric plants are easier to permit, and the CAPEX is much lower than for coal.. But R. never let the reality get in the way what they want to believe.