2020 Collapse

Great video about oil's crash, the collapse of economies by Mike Maloney:



Venezuela's economy was based on oil. Once they could not sell their oil, their economy collapsed (not only because of that, but oil played the main role).

Cheaper oil or impossibility to sell it (like due to lower demand), could lead to a cataclism.

Could we end up like Venezuela due to the oil crisis?


I'm very serious. It might not come directly, immediately, but this is a huge fallen brick.

This can ruin the petrodollar, could demolish the Russian and Saudi economies, could put a brake to China's industry...
 
Peter Schiff: First Negative Interest Rates, Now Negative Oil Prices



Peter Schiff comments on the oil price crash and why people shouldn't worry about gold's price. He argues that gold could still rise...
Very interesting comments and strong arguments about the hard period that we're going through and what could come after this.
 
silverhair said:
Lets not forget all those shale miners producing oil at a cost 2-3 x the market going rate , with nowhere to store it and no buyers in sight.
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US is a net oil importer, its worth to look at oil exporters only
 
Saudi vs Russia vs US Shale oil war. Shale will be dead soon and a lot of creditors will come looking for payment from the over indebted fracking industry. Will hurt the banks too once they start going bankrupt. Good riddance to a shitty industry!
Question will be who comes on top as oil prices will skyrocket once they’ve achieved their objective to reduce competition imo.
 
It's all being nationalized. The fed will own it all afterwards is the plan and Trump is handing it to them like a good little boy.
 
crewy said:
Saudi vs Russia vs US Shale oil war. Shale will be dead soon and a lot of creditors will come looking for payment from the over indebted fracking industry. Will hurt the banks too once they start going bankrupt. Good riddance to a shitty industry!
Question will be who comes on top as oil prices will skyrocket once they’ve achieved their objective to reduce competition imo.
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No one has a lower production cost than the Saudis....their challenge is can they maintain social order in the mean time while they feel the pain from low prices.
 
Yeah feel saudis will win but don’t think they expected such a drop in demand simultaneously with the production increase?! May backfire on them.
 
45-ongoing-volcanic-eruptions-around-the-world.jpg
 
crewy said:
Yeah feel saudis will win but don’t think they expected such a drop in demand simultaneously with the production increase?! May backfire on them.
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those parties involved knew well, even the negative futures oil prices traded in the US markets

example
https://www.zerohedge.com/markets/g...ying-mortgage-bonds-days-feds-massive-bailout


Goldman Was Furiously Buying Mortgage Bonds In The Days Before The Fed's Massive Bailout
"We had no advance knowledge of any of the facilities the Fed announced and assumed risk when we bought securities from clients during this period."
 
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Will be interesting to watch and see how oil prices coincide with gold price movements, ie if oil price starts to spike will this mean gold price increase imminent?
 
Why do they keep producing oil if they don't have where to store it?

They can's stop the machinery due to pressure?

I can't determine whether this will lead to a fast death of the petrodollar or, whether Russia will go bust or, whether China and Germany are now going to thrive due to cheaper oil.

I'm pretty sure that many oil producing countries will be economically hard-hit. Some could end up like Venezuela: Iran, Russia, Saudi Arabia, Iraq, UAE, Algeria, Nigeria... Nevertheless, they will be strongly affected... Norway?
 
brent crude 21.44
wti crude oil 16.94

first they could only sell oil for dollar
now all those dollars could not be taken out
can't blame them when they don't take dollars no more

it was our dollar but its your problem, but now it is not your problem, but it ain't our dollar

Russia in unlikely to go bust, since they converted their dollar to gold in huge portfolio diversification
China still has the belt and road project and well and alive
Europe is even more divided
 
alor said:
brent crude 21.44
wti crude oil 16.94

first they could only sell oil for dollar
now all those dollars could not be taken out
can't blame them when they don't take dollars no more

it was our dollar but its your problem, but now it is not your problem, but it ain't our dollar

Russia in unlikely to go bust, since they converted their dollar to gold in huge portfolio diversification
China still has the belt and road project and well and alive
Europe is even more divided
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I am still in a dilemma regarding gold and dollar. One of them might go "to the gutter", but which one?

Gold could keep rising as a hedge, but it could also fall (overbought, demand so high, they can't deliver, the demand for USD is higher than usual, despite easing...).

Or the dollar could collapse (petrol crisis could implicate petrodollar collapse, Corona could ruin the US economy, the US is also making less money because of the high gold price, US allies in the Middle East going bust due to low oil price: Saudi Arabia, UAE...).

Do we fool ourselves if we buy more gold or, do we fool ourselves with the US dollar?
 
TreasureHunter said:
I am still in a dilemma regarding gold and dollar. One of them might go "to the gutter", but which one?
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Gold was much,much longer before US dollar and I think will stay longer after dollar as well--should we worry?-no. We are waking now on fine line of probability in our life-everything can happen any minute ....
 
madaw1 said:
Gold was much,much longer before US dollar and I think will stay longer after dollar as well--should we worry?-no. We are waking now on fine line of probability in our life-everything can happen any minute ....
Click to expand...

The biggest dilemma for the small man is how to profit from this crisis, while struggling to "stay afloat", at least.

Stacking PM's by itself might bring some juice, but it might be worth also going into real estate/properties. Like: when gold's price spikes, you can sell your gold and buy a house, then rent it out once the economy starts to recover.
 
Real estate wouldnt be a good place to be right now. It's not liquid when things go to shit like this, but is a good chance to find some cheap deals if you're a buyer!
 
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