Twillight of Crude Oil! OIL AT $40.OO!

THE DELEVERAGING OF THE WORLD ECONOMY HAS FINALLY HIT THE ACCELERATOR PEDAL!  OIL IS THE ULTIMATELY FINAL RESERVE OF THE WORLD ECONOMY.  THE OIL COMMODITY HAS BEEN USED AS A POLITICAL AND ECONOMIC WEAPON BY OPEC.  THEY HAVE BEEN ABLE TO STOP THE DELEVERAGING FROM 2008 TO 2014.  THE IDEA THAT OPEC CAN CORNER THE MARKET IS NOW BEING EMPIRICALLY TESTED BY THE WORLD WIDE SUPPLY GLUT.  THE SAUDI FLOOR IS AT $10.00 A BARREL AND CURRENT PRICE OF $80.00 ALLOWS A FLEXIBLE PRICE CUT OF $70.00 PER BARREL.  THE REAL EQUILBRIUM PRICE FOR OIL IS AT $35.00 A BARREL AND THIS PUT PRESSURE ON WORLD COMPETITORS ESPECIALLY IN THE UNITED STATES. THIS WILL NOT STOP USA PRODUCTION DUE TO FREE MARKET GENIUS OF AMERICAN INGENIUITY. THE WORLD WIDE EFFECT WILL ALLOW FOR LOWER PRICES AND NEW NORMAL ALLOW GASOLINE PRICES TO REACH AN EQUILIBRUIM PRICE OF $2.25 PER GALLON. THIS WILL NOT CHANGE THE 5 YEARS LEFT ON DEFLATION AND RE-EVALUATION OF ALL ASSETS ON THE BASIS OF A DEFLATIONARY INVESTMENT RUBRIC.  The D.I. rubric will create a new normal for the stock market at Dow of 10,000 and Gold at gold production cost at $1,104.00.  The interest rates will fall to 2.4% and housing inventory will result in a $30,000 deduction from housing prices. The Federal Reserve needs to put pressure on Commerical Banks to lend money on collateralized loans at low rates.  The artifical creation of demand for Bank money is the new normal in banking.  The Commerical banks need to create new  loan products for the business and consumer community.  These new loans and new credit cards need to increase the demand for Bank loans. Banks need to enter a new type of pay day loan collateralized by wages and salaries and use this to increase credit lines to 150% of collateral value. The same marketing strategies that created demand for real estate needs to be tested in selected markets and create realistic payback schedules for Business and Consumers.