Tuesday, January 19, 2016


Oil and Financials.  Concern seems to be giving away to terror.  Somebody finally woke up to the fact that Iran is about to come on line.  Now they have been moving a lot of oil during the years of the embargo so the impact will not be as great as we are being told, but at this stage having noted that we have a supply problem not a demand problem, any additional barrel is not helpful.  Too bad for the Iranians.  While they were moving oil, they were getting screwed on the price as to avoid the embargo they had to concede large discounts in price.  To whom?  Well, the Chinese first and foremost.  Wonderful trustworthy bunch, that.

And speaking of the Chinese, their GDP numbers were released today showing expected growth of 6.9%  Hugh sigh of relief in the markets reminding one of a drowning man who finds a small branch swept his way as he goes down for the second time.  I'm asking everybody I know why i it that with 7% growth every Chinaman with a buck...or to be more accurate a Yuan...is trying to get it the hell out of China, not for a carry trade but into hard assets.  I even asked myself and Self said it's because their numbers are more amde up than our numbers.  I want to see what other people like My Really Smart Friend, Larry has to say.  I suspect, however, that the Chinese are smart enough to gauge this thing and realize that if some number like, say, 4.5-5% came in, everything would go out the window world-wide, but I could be wrong and hopefully I am.

From the sublime to the ridiculous, Davos gets underway this week.  Some where at least, the economy is booming fueled by taxpayer and shareholder money.  God, I wish I were Swiss!  It's not a country, it's a collector's item with the biggest secret being it probably has the best food from the standpoint of quality of any country in the world.  Boring, but wonderfully fresh and good.

The last item on tonight's agenda is that Hillary Clinton might be gone.  A devastating inspector's general report was released as I write this which could end her campaign and have untold consequences in every facet of the near political and economic term.  There may be little to write about besides this if the initial reports are correct.  I'm toast.  More tomorrow.

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