28-Nov-14 World View -- Oil prices crash after OPEC meeting

[John]

28-Nov-14 World View -- Oil prices crash after OPEC meeting ends in discord


Russia and Venezuela on their knees with oil prices plunging

** 28-Nov-14 World View -- Oil prices crash after OPEC meeting ends in discord
** http://www.generationaldynamics.com/pg/ ... tm#e141128


Contents:
Oil prices crash after OPEC meeting ends in discord
Oil price plunge pressures budgets of oil exporting countries
Russia and Venezuela on their knees with oil prices plunging


Keys:
Generational Dynamics, Iran, Iraq, Angola, Saudi Arabia,
Organization of Petroleum Exporting Countries, OPEC,
Russia, Vladimir Putin,
Venezuela, Nicolás Maduro, Hugo Chávez,
United Socialist Party of Venezuela, PSUV

[Japjeep]

Tough to get me to offer a comment, I'm content to nod my head or shake my fist. Feel like I have to though. There's always a tipping point, a precipice peak beyond which turning back is impossible, and predictability is improbable. This is probably it for the status quo, and I think your spot on regarding the impetus, reaction and staggering walk to the cliff edge we are about to be witnesses of. Scariest few months of my lifetime are right in front of us, and I'm not confident the ship will turn towards calmer waters.

[MarvyGuy]

I’m with you on the nervous part. It is both interesting and terrifying to see Generational Dynamic predictions taking place right before my eyes (since some of this was hard to imagine a few years ago). This article caught my attention since it could easily have been a combination of John’s posts on the subject (so I am getting the same analysis for free months before this was written).

http://www.wnd.com/2014/11/isis-brings- ... -together/

I respect how John explains the big picture and does not try to predict what small straw will collapse this whole thing. He wrote a series of posts a few months ago that were far more terrifying than this about the next world conflict that had me considering whether it made any sense to repaint the house. It appears that “environ” 4 major things are in the offing and the question is when the shoe will fall…..and can I find a fully furnished cave in time that has a back enterance.

[vincecate]

The broader picture is that the plunging oil prices are part of a global deflationary spiral. I said, starting in 2003 when I first began writing about Generational Dynamics, that it was predicting deflation. Mainstream economists have been predicting high inflation and even superinflation every quarter for years, so they've been wrong every quarter and Generational Dynamics has been right.

Peter Schiff, Kyle Bass, Mish Shedlock, and I are making very good money as the Yen goes down, as we all said it would.

I, and I think others, also expected that initially as the Yen started to crash it would prop up the value of the dollar. I think there is such a rush out of the Yen and into the dollar that it is making the dollar more valuable. This won't last forever though. Eventually the value of the Yen will be so small that those trying to get out will have no impact on the dollar.

Some time later, after Yen hyperinflation, people will start to get nervous about the same thing happening to the dollar and then the dollar will go down too. This is when gold and silver do really well. I think it is less than 2 years for this to start.

In 2003 oil was $25/barrel and now it is $70 per barrel. All kinds of other prices are also much higher now. It is not really like you have been right about this deflation spiral call so far. The graph below is not a deflationary spiral graph.

tmp.png (30.26 KiB) Viewed 5981 times

http://en.wikipedia.org/wiki/World_oil_ ... _from_2003

Also, note that "no hyperinflation this year" is really a "stopped clock prediction" that is right most of the time. But the payoff for getting the right year when betting of hyperinflation can be 100 times the bet. So even someone who was wrong 5 years in a row and then right on the 6th can easily be way ahead.