Jul 23, 2008 / 4:37pm / in Economics, General, Oil, Patterns, United States Dollar, Forex News
With mixed news coming out of the world’s remaining superpower in recent weeks, the recent US dollar rally induced widespread befuddlement. With Europe suddenly looking economically worse-off than America, it is easy to understand why the USD has rallied against the EUR. However, the USD has rallied against many of the major currencies, including the JPY and the CHF. In other words, it is not only bad news coming out of the Euro-Zone that is fueling this USD rally. So, the important question is what exactly is causing this rally?
Jul 9, 2008 / 4:15pm / in Economics, General, Money, Oil, Forex News
Today we have the last part in the three-part series focusing on oil. Again, we hope that you have enjoyed our debate, and look forward to possibly having more debate-style discussions in the future.
Question #5: How will the current energy situation impact America’s relationship with oil?
Jul 7, 2008 / 4:17pm / in Economics, General, Money, Oil, Forex News
Today is the second part of the series regarding oil. We hope you enjoy our debate, and again, if there are any questions that you would like to see debated relating to oil, please post a comment for us.
Question #3: Can oil prices lead to stagflation? Will they?
Jul 3, 2008 / 2:56pm / in Economics, General, Oil, Forex News
One of the major sources behind the world’s current economic woes is soaring oil costs. While we have discussed this problem in recent weeks tangentially, my colleague John and I have agreed to more deeply explore this issue. John has graciously agreed to join me in debating several oil-related questions for the next few days. We hope you enjoy our discussions, and should you have any questions that you would like us to discuss, please do not hesitate to post a comment.
Question #1: When will oil hit $150/barrel? $200/barrel? $400/barrel?
Jul 2, 2008 / 9:01am / in Economics, General, News Releases, Oil, Forex News
In the past 15 years, the automobile industry has witnessed monumental shifts, such as the boom in the popularity of the SUV, a Japanese company becoming the world’s largest automaker, and the rise of the hybrid. However, one thing in common between June of 1993 and June of 2008 in the world of automobiles is that roughly the same amount of cars were sold. Today it was announced that US auto sales reached a 15-year low, and I think that it is a fitting reflection of the larger economic situation.
Jun 16, 2008 / 12:25pm / in Americas, Currency, Fundamental, Interest Rates, Oil, United States Dollar, Forex News
Last week I mentioned that though the G8 conference would impact the US dollar in the short term, the ultimate fate of the USD will ultimately be determined more by Bernanke than by anyone else. The Group of Eight’s meeting has come and gone, offering little good news for the USD. In the FOREX market, that “little good news” led to bad news for the USD, as the greenback surrendered some of the territory it had gained last week. So with the conference in the rear-view mirror… let’s look ahead.
Jun 11, 2008 / 10:59am / in Americas, Oil, International Investing
Previously a $5 move would be front page news. Now it's just to be expected:
Crude oil for July delivery rose $5.07, or 3.9 percent, to settle at $136.38 a barrel at 2:48 p.m. on the New York Mercantile Exchange. Oil reached a record $139.12 a barrel on June 6. Futures have doubled in 12 months as investors looking to hedge against the dollar's drop helped push oil, gold and corn to records this year.
Apr 28, 2008 / 8:56am / in Americas, General, Oil, International Investing
A case in point about the incompetence of state control. According to this story, during a period of record high oil prices, the Mexican national oil company is actually LOSING money: