Tuesday, January 12, 2016

Here we go again!
(and I should get back to posting here...things are getting interesting / scary once again)

China is the bogieman!
Well, here we are again.....looking at investment issues that are not totally adding up.......and I would say that this is a bit like what happened in the .COM crash......things are not adjusting as we might expect.

So what do I mean......just take OIL prices......we have oil crashing down to about $32 a barrel even though many world producers have production costs above $40-$50 a barrel....and so you would expect supply to go down......so I understand that while the development of new wells has stopped, the shuddering of wells has NOT happened and so oil production output continues to rise....there seems to be a "war" of sorts. (perhaps Saudi Arabia is not so thrilled with Iran entering the market)

But Energy is but one area that seems to be at war.....take a look at the various currencies around the world....they all seem to be in  race to the bottom as they all struggle to devalue, I guess in an attempt to make their country more competitive for exports. But when this pattern of devaluation happens everywhere, it essentially happens NO WHERE....yet the money supply goes up and ALL currencies lose value.

Well...we hear that China is the "bad guy"....but Jim Rogers is not so sure about that!

Check out this interview with Jim Rogers.




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