World Of Wallstreet

Peak Oil Mitigation: Cars With 70+ Miles Per Gallon Available Globally But Not In The USA

This video commentary was worth five minutes of my time:

It might be worth your time. I'm not sure I buy his explanation for why the US government won't let these cars be sold in the USA. What do you think?

Still getting double the gas mileage of the USA's fleet with existing European auto technology seems noteworthy. Suppose Peak Oil kicks in with something like 4% less liquid fuels per year available to the USA citizen. A doubling of mileage would mitigate Peak Oil for around 18 years. That's substantial.

MontyHigh, www.worldofwallstreet.us

 

Worse Than 2008? A Chorus Of Voices

I'm starting to hear a chorus of voices from people I respect concluding that we are on the brink of another 2008-like financial crisis. For example, I respect Chris Martenson. His headline: Get Ready: We’re About To Have Another 2008-Style Crisis (click here). I've been thinking its too soon for another 2008-like crisis, but these are people I respect and they are not perma-alarmists.

The chart below says that for gold, yesterday was worse than the depths of 2008:

Yesterday, as far as the daily RSI oscillator is concerned, was worse than 2008.

Following my usual modus-operandi, let's look at the situations that are closest to yesterday. There's two in 2008 and one in 2006. 

The circumstances in 2006 were different from today as the RSI low occurred right after an April 2011-like big silver and gold price run. 

Right now 2012 seems more like 2008 (perhaps worse). The above chart from 2008 says that the bottom for gold may not be anywhere close to being in for this year, but that, for the price of gold, 2012 could be another year where gold closes with a price that is higher than the close of the year before.

At this point, I'm holding my current large positions and will soon have some cash from a real-estate sale. I'm planning on adding more should we see prices down in the $1400s, $1300s or $1200s. I'm not anxious. I'm still enjoying and am pretty focused on my day-job, so I may not have as much of an investing/trading edge as usual.

MontyHigh, www.worldofwallstreet.us

Off-Topic? Mainstream Journalism - Something Is Definitely Wrong

I may not be able to properly put this into words, but there is something definitely wrong with mainstream journalism when they run every news story thru the "Presidential Election Politics" filter.

A bad unemployment report comes out confirming that the good times of the 80s, 90s and 00s are not coming back anytime soon, probably not in my lifetime (hat tip to Karl Denninger for providing some empirical perspective):

That's 8 million (6% of 140 million) people so far who can't get any kind of work compared to 90s. The standard of living in the USA is going down and not coming back resulting in tens of millions:

• Of baby boomers "retiring" without the resources to maintain decent housing or health care.
• Young people not being able to find jobs (even with both parents working) that can support the lifestyle they grew up in.

And all the journalists can come up with is "Political Ammo for Both Sides"? What's going on here?

• Are they intentionally trying to distract us? That's probably what's going on with the big-media "owners" who won't let anything that might seriously disrupt their control over the status quo get in the news.
• Do they think we are so dumb that the only thing that interests in the news is the presidential Superbowl? That's probably what the top editors editors are telling themselves as a justification for keeping the news on an "approved" track.
• Do they care so much about Obama getting re-elected as a way of giving their life meaning ("I entered Journalism to save the world") that they have completely lost perspective or a love of the truth. That's probably what most of the individual writers think they are doing.

This kind of headline is one more data point illustrating that if you want to know what's really going on you are going to have to dig deep than the mainstream news.

MontyHigh, www.worldofwallstreet.us