Dear readers,
In today an earthquake measuring 8.9 on the Richter scale has shaken Japan. It is a powerful earthquake that has happened in the worst way possible: the epicenter was deep under the sea, so that direct destruction of the earthquake was added tsunami that hit the coast within minutes : waves capable of penetrating 10 meters in some areas a few kilometers inland (and one thing people in these latitudes is often ignored: due to the effect of shallowing deadly waves may last several hours). The disaster has claimed no less than 1,000 lives. To finish on top, the number 1 reactor of the Fukushima nuclear plant has been severely damaged by the earthquake and it seems that at least there will be a radioactive cloud (the levels of radioactivity at the plant, at the time of writing , 1,000 times the normal), while still a risk of a meltdown, including a nuclear explosion (but do not forget, nuclear energy is the future ). In this section of the Wikipedia can follow the current state of Japan's nuclear crisis .
front of this huge disaster in a country well prepared for these events, what was the reaction of the markets? For the price of a barrel of oil has dropped a couple of dollars ...
is grotesque and disgusting talk of market prices as hundreds of people die and others may be losing thousands shortly. But what surprised. Recent months have seen how people in fifty countries around the globe have been experiencing in the flesh, the hunger for inability to pay the price of food. From Central and South America, from throughout Africa to reach Indonesia, India and China without neglecting, take place day in and day out food riots. But we are only interested in going on in the countries of North Africa and the Middle East, to the point that some readers confused believes that there is only instability and unrest in those countries. Not true, but our major strategic interests are in those countries, because they depend on our supply of oil and gas.
We have already mentioned that our energy decline caused by lower production energy commodities, the decline right side of the Hubbert curve will not be as smooth as theory predicts, and is characterized by non-linear transitions and phase changes, radical changes in the economic fabric of social behavior on a global scale . These transitions, these breaks, make a point, although the price is not fully reflected, not oil for some buyers even if they can afford, is now the case of Spain, which imported 13.4% its oil from Libya and desperately searching where to buy it now that the country has been plunged into civil war, but months ahead contracts, commitments from other providers and the lack of fungibility (due to poor quality) of some excess oil will not let you find, no matter the price. In short, the world market, oil first, then all other commodities, including food, will become increasingly inefficient subdivision. And in such a situation, the misery of some is converted into an advantage for others.
If Japan is seriously injured with the events of today, given their already poor economic situation (public debt equivalent to 200% of its GDP, but fortunately mostly in national hands, more 15 years of stagflation -in fact, mild deflation continued growth with low-,...), the country advance in the process of collapse in which everyone is involved ... and free up resources for others. That's why the low oil, investors smell blood and they anticipate a fall in demand, to feel the cry of pain the fourth largest consumer of oil.
That's our cruel but, in the fall on the right side of the Hubbert curve, our only option to maintain business as usual, ie something like normality, wish failure and fall of our competitors, which increasingly look more like our adversaries, if not outright enemies. We stand by what is happening in Libya because they want to risk losing side to ally with and thus lose access to vital petroleum that Japan should we suffer and aggravate its recession ... The retention of the existing order "leads us to be carrion to feed on the remains of those who not so long ago were our neighbors. How far will this foolish exercise? Do we eat our own members - eg, municipalities that go bankrupt, autonomous communities that do not support the level of debt? When we accept living the Oil Crash, which this crisis never ends ?
Dear readers, we must react. Starting with the awareness , go on the street. Before all is full of undead ...
Salu2,
AMT
0 comments:
Post a Comment