Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.
-
Welcome Guests
Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.
Search the Community
Showing results for tags 'economic recovery'.
Found 1 result
-
You know, I've been looking at the price of oil for a while now and thinking it's a problem for "the recovery". The questions you have to ask yourself are 1- Is the price of oil a good reflection of dwindling global resources? 2- Is the price of oil reflective of the diminishing value of the currency it's priced in? 3- Can the global economy currently rebound with a high value of oil? 4- What can central bankers do about it and would they do it anyway? The spike which saw values top out in mid '08 at just shy of $150 per barrel was blamed at the time on speculation. But is that all it is? I mean just look at the recent Libor revelations. It's a nailed on certainty that there is a whole heap more corruption in the world. People tend to do what they feel they can get away with or won't be pulled up on and then convince themselves it's morally justafiable. Well maybe some people are happy to do wrong in fairness. But the point is, this is human nature. Not acceptable in a civilized society. Don't mistake what I'm saying. So you have to assume there is something going on behind the scenes to artificially alter fair price. Look at what happened when everyone thought the apocalpyse was nigh. We hit a low of circa $30 per barrel only 6 months after being nearly $150!! What ever your opinion on why/if we have a high oil price, I'd be interested to hear it. I'd also really like to know whether anyone else believes that the high price of oil specifically is really hindering any economic recovery. I think it really, really is. Especially where small business is concerned. But that is really just opinion. I feel we need to drop back to somewhere in the region of $50 and hold for a while in order to really "stimulate" the global economy. But can that happen with the Federal Reserve willing to dilute the value of the dollar at any hint of poor data? It's funny how Europe is being pointed out as having an inadequate system when really isn't the entire system currently flawed??
