Wednesday, April 23, 2008

If you have the guts, here's the REAL TRUTH on Oil and Gas Prices

I have been a bear on oil and gas.

I still am.

This pretty comprehensive analysis shows why if you have to energy to read it all.

Sufficient to say, Ethanol is going away, Gas will go up a bit more, consumption is falling, If oil's pricey here it's pricey in China and India. Demand is much more elastic there.

Elasticity is taking hold here. Cure for high prices is high prices. Every day new production is coming on line. We might be a little ways from it, but get the dollar back to 2002 levels, get gold and the euro back to 300 and .90 and a few other tweaks and look out.

There is much to be optimistic about.

Relax. Pay for this oil for now, It can't last. Read the whole article and look at all the charts. It will tell you far more than I can.

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