An irregular, irreverent, post-modern account of the surreal, the ordinary, and the bizarre happenings on and around the Felia lavender farm in Crete

Thursday, November 20, 2008

Lies, damned lies and, fundamental market conditions

Does anybody recall the fuss a few months back when oil prices were going up - up and up? Eventually the $100 per barrel barrier was breached and all this while the economic pundits were denying that the cause for this astronomic stupidity was occasioned by a glut of mad equity investors plunging into commodities. The news programmes were stuffed with economic experts happily telling us that the rises were inevitable given market fundamentals - that the whole thing was the fault of those middle easy potentates not producing enough of the stuff - or that is was the slanty eyed creeps in China using it all up in their rush toward affluence.

Well here we are some months later and oil dropped below $50 dollars a barrel today. So somehow either the supply and demand equation magically balanced itself out or those "experts" were telling us porkies. What do you think?

No comments:

Post a Comment