< HOME  Friday, January 20, 2006

Iran shifts its assets, speculators SHAFT our assets

Like yin to yang, night to day. Consumers pay for the arbitrary acts of those who control that which is needed to survive.
Iran said on Friday it was moving funds out of Europe to shield them from possible U.N. sanctions and flexed its oil muscles with a proposal to cut OPEC output.

* * *

Financial markets reacted nervously to the uncertainty about Iran's foreign holdings, estimated at more than $30 billion, helping send oil to a four-month high above $67.
Why would talk of shifting assets send oil prices into an upward spiral?
Talk of shifting foreign assets indicates how seriously the Islamic Republic is taking the threat of U.N. sanctions . . . and an Iranian proposal to slash a million barrels a day from OPEC production from April was not calculated to calm markets.
But, wait a minute. What does shifting assets under threat of UN sanctions have to do with cutting oil supplies?
OPEC governor Hossein Kazempour Ardebili told the Mehr news agency the cut was needed because markets are oversupplied by some two million barrels per day, which he said could cause an oil price collapse in the second quarter of the year.
AHHH! the real issue is NOT the threat of UN sanctions, but the threat of deflationary market forces!

But, wait. Traders don't seem to be worried about excess supply of oil:
Most traders are more concerned about a shortage of spare capacity and an array of geopolitical risks than any glut.
Sure! If they worried about a glut, that would push prices lower! Must stay focused, UP, UP, UP with the shaft!

Besides, why would they worry about excess supply? Those who control oil supplies would NEVER let that happen.

You see, we the people can't win as long as a privileged few control that which we need to survive and thrive, whether it's money, energy, food, water, or communications.


At Friday, January 20, 2006, Anonymous Anonymous said...

If I had to choose which industry to rate as the biggest weasels in history I don't know if I'd choose the cigarette companies or oil. Damned ridiculus!

At Friday, January 20, 2006, Blogger qrswave said...

How about neither.

The biggest all time crooks are central bankers, followed by financial traders or speculators.

The instruments they trade in are the parasitoids of our economy. They have driven us to the precipice of economic ruin.


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