lowecur
Well-known member
- Joined
- Sep 14, 2003
- Posts
- 2,317
Wall St has third triple digit down day in a row. The greed of the oil speculators, unbridled growth in China/India, huge trade deficit, little control by the Houses' of Congress on the discretionary portion of the Budget, and the War in Iraq has fueled some analcysts to believe recession is right around the corner. This from a poster on another board:
"I was wondering if you still think the sky is the limit on where the price of oil will go in the next few quarters? Do you still think it will go to 60 and beyond?
Have you followed what is happening on Wall Street?
1. GM issues a profit warning and the stock tanks. Reason; SUV and truck sales down
2. Ford also issues a profit warning. Reason; truck sales are down.
3. IEA now says that Europe GDP will be much lower than forecast. Reason; Oil prices are having a much greater impact than expected.
4. Retail sales are down in March. Reason; people are spending more for gas, which leaves less for discretionary spending.
5. March employment number well below forecast.
6. Several firms are cutting U.S. GDP growth for the rest of the year.
The list goes on and on.
The damage has been done. We will see 30 before we see 60. The fat lady will be singing the end of speculative bubble next week."
This is possible folks, as the oil bubble may be about to burst. Market forces are heavy handed in correcting imbalances. It would have just been so much easier if we had a viable energy policy in this country, but big business would have none of that!
This is a double edged sword for the Airline business. Cheap oil is better, but a slowdown of revenue is just as costly. Just my 2 cents.
"I was wondering if you still think the sky is the limit on where the price of oil will go in the next few quarters? Do you still think it will go to 60 and beyond?
Have you followed what is happening on Wall Street?
1. GM issues a profit warning and the stock tanks. Reason; SUV and truck sales down
2. Ford also issues a profit warning. Reason; truck sales are down.
3. IEA now says that Europe GDP will be much lower than forecast. Reason; Oil prices are having a much greater impact than expected.
4. Retail sales are down in March. Reason; people are spending more for gas, which leaves less for discretionary spending.
5. March employment number well below forecast.
6. Several firms are cutting U.S. GDP growth for the rest of the year.
The list goes on and on.
The damage has been done. We will see 30 before we see 60. The fat lady will be singing the end of speculative bubble next week."
This is possible folks, as the oil bubble may be about to burst. Market forces are heavy handed in correcting imbalances. It would have just been so much easier if we had a viable energy policy in this country, but big business would have none of that!
This is a double edged sword for the Airline business. Cheap oil is better, but a slowdown of revenue is just as costly. Just my 2 cents.