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Warnings from the Future Part I

  
  
  
  
  
  

oil, rise, economy, fuel, imports, exports, trading

Oil: Prices Rise

-Constriction in the market or coming oil crisis. Things are not as they appear.

-People concealing their intentions, hiding ideologies behind bamboozling hyperbole.

-The game of fuel is made more important as it is the thread that holds together the value of your life – as you know it.

Imagine with me – or better yet, remember back to just three short years ago. Gas was $5.00 per gallon and oil was $140 per barrel. Most food spiked as much as 30% over three months. What you spent on transportation doubled. Utilities increased at alarming rates – and outrage was the sound of the day.

The price of oil is again nearing $100 a barrel. The prices at the pump are beginning to climb. How much this time? How far will it go? How far will it force me to go? What must I leave behind, give up, surrender – and why? $100, $140, $180 and more, $190, $200, what more is in store?

In the 1970s, we were told the finite resource of oil would soon be no more. That by the turn of the century we would succumb to a near apocalyptic state, when the oil ran dry. And part of society also said, “No! Not here! -  Don’t ask me why. Don’t drill on the land and not in the sea. Don’t drill in the arctic, nor mine the shale.”

“But why – we’ve found many lifetimes more?”

“ No!  We can’t hear that – and oil & fossil fuel is in short supply! Didn’t you hear our bold face lie?”

“Oil is dirty, crude, rude (and cheap – Shhh). It’s too easy for you. Easy for you to live, to travel, see nature, go to work, visit family, eat good food, produce abundance, live in large houses, and dream big dreams. You’re small, insignificant, imprisoned to the ever-diminishing scope of our vision for the world. You have too much, enjoy too much, dream too much. Too much means too much wealth, too much freedom.”

Then, technology improved and we could yield more and more from the new wells that are drilled and the old ones, too. Yet over $100 a barrel of oil flew. Where it would end - no one knew.

“It’s the oil traders, the Wall Street bankers, villains through and through. $120, $130, $140 - the price grew.  $5 at the pump – what must I do? The house I bought, budget squeezed at the margins – now those margins squeezing me – right into the street. Gas is $5.00 per gallon, new car payment, heating and air conditioning is $400 a month, food now through the roof – Oh Come On! Foreclosure, too.

The Price of Oil is the price of life – Where were you then? Will you be there again? It’s planned, it’s purposed, this rise, this explosion in the price of life.  But is it your purpose, your plan to spend your life just to live.  This is what is planned for you – to just live, to barely exist. Yes – but how does that serve you? If not you – Who does it serve, and how?

 

Dave Stover

dave@universalcargo.com

Comments

I believe this all to be true. But what can I, as one person, do?
Posted @ Monday, January 24, 2011 12:38 PM by Eric Abraham
Eric: 
 
I know it often feels like we are alone in matters we cannot control – like the price of oil. 
 
The first responsibility is to know the truth. The second is to face the reality as it is. 
 
That is that oil is going up – “big time”. And sculpt our mindset to be ready for it: for how it will impact our lives day to day. 
 
Inflation, on food, cars, homes, every energy use, everything that has to do with modern life is now under upward pricing pressure.  
 
This will likely not abate for years to come – given the tandem blow that QE 1, 2 (and possibly even a 3 on the way), has had and will have, as it to is multiplying inflationary pressures on prices: 
Price jumping – some will call it “leap froging” over all previous conceivable price barriers, for every aspect of life. 
 
Be ready. Know that things will at some point – seem WAY out of line. This may settle in as a “new normal”,  
 
Note the strategies of the 1970s. There are opportunities that will arise for those open eyes. Those who look around will see gold as a viable hedge in many respects. An individual’s home may in the short run produce little hedging against the on slot of inflation, but long term those who own should see sizable appreciation, if history is any indication.  
 
It might be wise to consider the safety of an area to secure future home value as well as energy efficiency, and being hooked up to a grid that has water, nuclear or coal as a supply source.  
 
But to note the lessons of history is most important. The 1970s will seem like a ride in the park compared to the “volatility” we may see in the next 2 – 5 years. 
 
Thanks  
Posted @ Monday, January 24, 2011 2:05 PM by Dave Stover
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