Post by
HighOctane89 on Sep 26, 2022 2:41am
Its official , the world is insane
Belgium will shut one of four nuclear reactors as scheduled this week and continue with a second reactor taken offline in Feb . This is happening in the midst of an energy crisis and puts further pressure on coal , nat gas and oil inventories . Belgians are protesting high electricity prices , stainless steel maker Aperam had to stop production due to soaring energy costs , why would anyone reduce baseload supply ? The mayor of Antwerp said Europe's energy crisis can't be pinned on Putin , its a self-inflicted crisis by phasing out its primary energy production .
US natural gas inventories are the second lowest for this time of year for the last 12 years . Demand/consumption has risen to record levels both in the US and internationally yet with winter directly in front of us , the paper market is distorting the price with everyone on the sell side of the trade . The media keeps harping on the fear of demand destruction when inventories contradict the narative , as winter sets in and the furnaces start running demand will overwhelm supply .
There seems to be a race where central banks try to kill the economy before the economy runs out of oil and gas . The US and Canada still have very tight labor markets where everyone has a job and we all commute , Target announced it will be hiring 100,000 people (if they can find job seekers) . Despite media propaganda , the roads are busy , the mall parking lots are full and the economy keeps chugging along ,
Rising interest rates won't help Biden as his war on O&G and bloated giveaways are the root cause for this underlying inflation . A healthy domestic O&G sector would have had ample supply to absorb the demand surge and would have kept prices under control . Depending on where Ian (storm) hits the gulf coast it may cause offshore production losses but that won't be for another couple of days .
Its a bit of a bonus really when you look at this O&G price selloff , lower prices will only stimulate demand and speed the arrival of the day of reckoning .
Comment by
Barkis on Sep 26, 2022 7:11am
Hi, HighOctane Thanks for taking the time to put ink to paper. The truth is often stranger than fiction and hopefully we will all be pleasantly surprised after all is said and done. I does not matter what kind of car you drive as long as those you choose as friends think alike and buy thier gasoline Flying J. G.L. Barkis's
Comment by
iwpete on Sep 26, 2022 2:37pm
I follow this hurricane tracker https://zoom.earth/storms/ian-2022/