The Keys to the Shadow Banking System: ACCIDENTAL ECONOMIC RENAISSANCE!

The Keys to the Shadow Banking System: ACCIDENTAL ECONOMIC RENAISSANCE!: THE FOUNDATIONS FOR THE NEW AMERICAN ECONOMIC RENAISSANCE ARE SLOWLY BEING BUILT FROM THE ECONOMIC ASHES OF 2008!  PETER ZEIHAN IS THE ...

ACCIDENTAL ECONOMIC RENAISSANCE!

THE FOUNDATIONS FOR THE NEW AMERICAN ECONOMIC RENAISSANCE ARE SLOWLY BEING BUILT FROM THE ECONOMIC ASHES OF 2008!  PETER ZEIHAN IS THE BEGINNING OF A NEW STREAM OF ARCHITECTS CREATING THE SUPERSTRUCTURE FOR THE NEW AMERICAN UPWAVE PARADIGM.

PETER ZEIHAN 'S THE ACCIDENTAL SUPERPOWER OUTLINES THE FUTURE BEING BASED ON FOUR OUTCOMES: (1) POSITIVE STRATEGIC  NORTH AMERICAN  GEOGRAPHIC ECONOMIC CHOKE POINTS; (2) MILLENNIAL  GENERATION OF 88 MILLION YOUNG PEOPLE AND MILLENNIALS ARE US BASED NOT A WORLD WIDE DEMOGRAPHIC; (3) AMERICAN SHALE ENERGY INDEPENDENCE FROM THE MIDDLE EAST WITHIN TWO YEARS BY 2016 AND DOW CHEMICAL HAS INVESTED $6 BILLION FOR 2025; (4) NEW  USA RESOURCE FOREIGN POLICY MAP. 

THE ECONOMIC UPWAVE CREATED BY THE CREATIVE TRANSFORMATION OF THE THESE FOUR INTERACTING ZONES WILL CREATE THE NEW PROSPERITY FOR THE UNITED STATES.  THE FOREIGN COMPETITORS WILL HAVE TO FINANCE THEIR OWN ARMED FORCES TO PROTECT THEIR INTERESTS.

  ZEIHAN ARGUES FOR A NORTH AMERICAN CO-PROSPERITY ZONE OF CANADA, UNITED STATES AND MEXICO. THE SHALE ENERGY BOOM IN USA AND FUTURE GROWTH IN MEXICAN SHALE. THIS NAFTA ALLIANCE WILL MOST LIKELY ADD CUBA, COLUMBIA AND VENEZUELA.  THE FUTURE TRADING PARTNER IN LATIN AMERICA WILL BE ARGENTINA.

THE ECONOMIC UPWAVE IN THE EARLY STAGES WILL ADD  THREE ECONOMIC GROWTH FACTORS: (1) FINANCE CAPITAL WORTH BILLIONS OF DOLLARS  VIA RETIREMENT CAPITAL AND FLIGHT CAPITAL FROM CHINA; (2) MANUFACTURING INNOVATION CONSOLIDATING THE SUPPLY CHAIN VIA 3 D PRINTERS WHICH CREATE 3 D PARTS ON DEMAND; (3) US AGRI-BUSINESS MONOPOLY IN FORM OF SOY PRODUCTION GOING TO SOUTHEAST ASIA.  THE CHINESE FLIGHT CAPITAL COULD EXCEED 14 TRILLION US DOLLARS INTO AMERICAN FARM LANDS AND REAL ESTATE.

ZEIHAN ARGUES THAT THE REST OF THE WORLD WILL EXPERIENCE THE FOLLOWING DOWN WAVE OF COLLAPSE: (1) DECLINING YOUNGER POPULATION RESULTING IN LOWER TAX BASE AND WORKER BASE; (2) LACK OF FINANCE CAPITAL GROWTH AND RETIREMENT AGE ENTITLEMENT CRISIS; (3) PEAK OIL ENERGY CRISIS BASED ON MIDDLE EASTERN OPEC MONOPOLY; (4) NEGATIVE GEOGRAPHIC CHOKEPOINTS IN WHICH CHINA AND RUSSIA AND MIDDLE EAST NO LONGER HAVE GEOGRAPHICAL POSITIONING WHICH RESULTS IN LOW GROWTH; (5) CONTINUATION OF DEFLATIONARY DEPRESSION FOR LONGER PERIODS AND NEGATIVE INTEREST RATES; (6) NEW WORLD ORDER THAT DESTROYS THE POST-WORLD II BRETON WOODS AGREEMENT IN EXCHANGE FOR AN AMERICAN CO-PROSPERITY  SPHERE OF INFLUENCE BASED ON THE NEW AMERICAN RESOURCE ALLIANCE SYSTEM.

THE UPWAVE IS THE NEW FUTURE OF THE USA.  THE RISE OF INFLATIONARY FORCES CREATED IN THE UNITED STATES CO-PROSPERITY SPHERE WILL CREATE A DEMAND SURGE OF INFLATION WHICH WILL CHANGE THE DEFLATIONARY WORLD ECONOMY.  THIS MILLENNIAL  TRANSFORMATION IS THE AMERICAN ACHIEVEMENT.  THE AMERICAN CO-PROSPERITY ALLIANCE  IS THE FUTURE!

The Keys to the Shadow Banking System: WARREN BUFFET MAKES A CAESAR MOVE BY SELLING EXXON...

The Keys to the Shadow Banking System: WARREN BUFFET MAKES A CAESAR MOVE BY SELLING EXXON...: Warren Buffet makes a Caesar investment move that results in the sell of 41,000,000 shares of Exxon Mobil for a value of $3. 9 Billion ...

WARREN BUFFET MAKES A CAESAR MOVE BY SELLING EXXON MOBIL!

Warren Buffet makes a Caesar investment move that results in the sell of 41,000,000 shares of Exxon Mobil for a value of $3. 9 Billion US Dollars.  Buffet bought the Exxon share around April 2, 2013 at $90.58 and sold his holdings on December 31, 2014 at $92.45.The price for Exxon share on February 19, 2015 was at $91.00. The price of a barrel of oil in November of 2013 was $97.00.

 The actual value of a barrel of oil on November 9, 2014 was $100.00 a barrel and on November 27, 2014 a barrel dropped to $70.00 moreover, by December 16, 2014 oil dropped to $55.00 a barrel. The projected price for a barrel of oil in June to December of 2015 should drop to $23.88 a barrel of oil. 

How does Buffet calculate the odds of buying or holding a stock?  The Exxon Mobil is a case study in the thinking process of  how the Buffet team approach to value investing. First, the Buffet team looked at the shock drop of oil barrel prices as the essential indicator of the actual value of Exxon Mobil.  They realized that within a 30 day period oil dropped by 30% and by December 15, 2014 the drop of oil was about 50% from the November highs.  They did not hesitate to pull the trigger and did not fall in love with the cash machine of Exxon Mobil. Remember, Fortune favors the bold!

Second, the real value of Exxon Mobil is based on the value of its oil holding and the drop in oil commodity prices.  The good news is that the Exxon Mobil share price did not reflect the actual value of price of barrel of oil and stock price allowed Buffet a margin of safety to plan for a sale Exxon Mobil at a profit.  Buffet did not take a loss and sold early enough to allow for the greater fool theory to take effect on the institutional holders of Exxon Mobil.

Third, the Buffet team realized that oil industry is in a sunset industry run by an unregulated monopoly known as OPEC.  The mis-allocation of resources and prices was the hallmark of an unstable industry.  The fact that Peak Oil is a long term outcome of the oil industry which will result in consolidations.  The deflationary environment of the commodity industry clearly places a low value marker on all proxy stocks of this industry.  The problem with oil stocks that take too long to

reflect the true value of a share.

Fourth, the central question for Buffet team is "Why should we take unknown risks in a sunset industry?" This makes sense for Buffet to look at the ratio of price to value of  a share of Exxon Mobil. The reality is that their are better industries that are more rational choice of investment capital.

Buffet decision is a turning point in the future of the oil industry.  Why would you invest your hard earned money on a an over-valued and over-priced oil stocks?  Why waste your time fighting the market and Buffet is Caesar of Omaha.

US.INSTITUTIONAL INVESTORS SHAKE HANDS WITH THE GREAT BEAR!! MARKET CAN DROP 33%!

THE GREAT BEAR IS BACK!  The Institutional Investors have to now come to grips with hedging their portfolio's STOCK HOLDINGS!.  The data is in and we are in the middle of a deflationary cycle.  Institutional Investors must now embrace shorting the market to make money.

  THE SMART MOVE NOW IS TO SHORT THE MARKET!  THE MARKET IS OVER-PRICED AND OIL HAS TO DROP TO $23.00.  THE SHORT DEFLATIONARY MATRIX IS NOW SET AND SHORTS IN THE MARKET HAVE TO BE REVALUED UNTIL JUNE.  THIS IS THE 5 MONTH PERIOD TO SHORT THE MARKET AND WAIT FOR THE HARD OIL PRICE TO REACH ITS FINANCIAL BOTTOM.

The Keys to the Shadow Banking System: OIL SPECULATORS HIDE AND SEEK PROFITS!

The Keys to the Shadow Banking System: OIL SPECULATORS HIDE AND SEEK PROFITS!: OIL SPECULATORS ARE PLAYING HIDE AND SEEK GAMES WITH INVESTORS AND THE PUBLIC! T he great game for profit deceptions is back in ful...

The Keys to the Shadow Banking System: OIL SPECULATORS HIDE AND SEEK PROFITS!

The Keys to the Shadow Banking System: OIL SPECULATORS HIDE AND SEEK PROFITS!: OIL SPECULATORS ARE PLAYING HIDE AND SEEK GAMES WITH INVESTORS AND THE PUBLIC! T he great game for profit deceptions is back in ful...

OIL SPECULATORS HIDE AND SEEK PROFITS!

OIL SPECULATORS ARE PLAYING HIDE AND SEEK GAMES WITH INVESTORS AND THE PUBLIC!

The great game for profit deceptions is back in full force for the next 5 month before the OPEC MEETING IN JUNE! Oil speculators have mapped out a brilliant strategy to maximize the profits of the great oil short.  The oil speculators resent the fact that they were not positioned properly for the oil take down in November of 2014. 

 They want revenge from the the oil markets.  The problem is that they need to use the media and other social media assets to create the illusion that oil is going up or has reached a bottom at $50.00.  

This will give them time to game the market by $30.00.

Steve Briese argument is that according to the Commodity Futures Trading Commission the Oil speculator have not changed their major positions.  The Commodity funds have long positions that are based on the assumption of $120.00 Barrel of Oil and have long futures in WTI futures and options traded on the New York Mercantile Exchange. The problem is that the derivatives only require 10% or less on margin.  The oil speculators want to leverage the market in the wrong direction: only 10% decline would force them to liquidate contracts or pay more for the right to margin their position.  The continued collapse would cause more selling or a price decline to $23/00 a barrel.  The Question is how do you hedge your losing position?  How many investors can you fool into believing that prices of oil will go higher?  The greater fool theory of the oil market is working on the right individuals: THE OIL SPECULATORS!

  What is the real fractal bottom?The real fractal matrix price for a barrel of oil is about $23.00. According to Gary Schilling, The Age of Deleveraging, is that this is an example of deflationary economic commodity markets.  The position of rising inflation is now moot and represents the lunatic fringe of economics.  The idea of counter-investings is a moron's dream in this market.  This is a global declining commodity market that is much bigger than OPEC.   The profit shorts from futures could be a small fortune or even conservative etf x 3 could create a small fortune.  This is the big play.  The stock market needs to reach  new lows, according to Schiller CAPE Index, until the oil bottom is reached and tested: only then will the stock market reach its actual value. This is the problem for institutional investors and not oil speculators. Institutional investors will have to hedge their bets by shorting the market.  The Great Bear is back as a money making strategy. This time around oil speculators are behind the economic and learning curve.