Tag Archives: Yahoo Finance

The stupidity of some

Yes, we all see that and it has repercussions for these people. We might sit on the sidelines laughing, but it shows a dangerous premise, the stupidity of America, the stupidity of some Americans and how they scuttled their own ship called ‘Future of us’ and ‘us’ could also be seen as ‘US’. This is shown in two articles. The first one is from Yahoo Finance. There was a little better NY Times article, but that was behind a paywall, so you would not be able to read the whole text.

The article (at https://news.yahoo.com/disney-cancels-1-billion-florida-185105108.html) gives us ‘Disney Cancels $1 Billion Florida Expansion’. A setting that came because an idiot (aka Gov. Ron DeSantis) decided to start a war for a trivial reason. He wanted to ‘Douse the Mouse’ (sorry Brittlestar, this is too good a slogan to pass up). And now Disney has cancelled an expansion where we get “The 10-figure office complex near Walt Disney World would have brought more than 2,000 jobs to the region, according to an estimate from the Florida Department of Economic Opportunity” So not only does this governor rub any fat cat the wrong way. He now has grievance with the Commercial houses of Florida, his Republican back, the Democrats of Florida and a few other people. Along with the 2000 people not getting a job, up to 8 people connected to anyone losing that job, as such he is 25,000-50,000 votes down and there is likely a larger loss for the Republican side. An ego centric stupid act on the premise of perception that should not have existed in the first place. It is stupid for a few reasons more. The American have alienated Saudi Arabia, optionally the UAE, Egypt and Lebanon as well. Billions in defence industry is now going to China, building contracts in Syria and Saudi Arabia are now going to China, as such the EU and USA are losing out on billions more. The idea that the EU will cater to another Disney-world giving the EU billions more is not out of the question, all money lost to the US, in a stage where they have over 31 trillion in debt. An act too stupid to contemplate and this could have been avoided. In the 70’s my elders taught me ‘Do not bite the hand that feeds you’ and in 1968 we have the premise ‘Money talks, bullshit walks’ and the US seemingly only has walking left. In this day and age I saw the option for millions more in revenue in IT and it will likely go to the UK, the EU (Germany most likely) and Australia (weirdly enough). I am not ruling out Canada, but I know too little about their abilities in that field. Millions more and the list goes on. America dropped well over $5 billion a year on my recent watch alone. And all this before you realise the blunders that signify the USS Zumwalt with its $4 billion expense and the massive drop in abilities. Just to be clear, I am no naval expert, but I dit get a degree in ships engineering and navigation in 1979, so I am not totally in the dark here. The USS Blue Ridge that launched in 1970 outperforms it by a lot and the cost of that rubber ducky is a mere 5% of the failure that the USS Zumwalt represents. I reckon the idea that a congress would not order the smart bullets that the Zumwalt needs (at $800,000 per bullet) might have been the wake up call some people needed. In that environment we get to the second linked article. 

The second article is from the Guardian (at https://www.theguardian.com/business/commentisfree/2023/may/18/us-debt-ceiling-crisis-republicans) and here there is another side. I do not agree. You see, we can listen to the emotional ‘The US debt ceiling crisis is more proof of Republicans’ cynicism and bad faith’. Here I am on the Republican side. There is a folly to let 31 trillion fester and fester to something more. This is a pox on both houses and it has been for well over 25 years when a tax overhaul was needed and we all hear the same BS. Too hard, too complex. Well, they are close to default on whatever they have left and as Disney goes towards the EU they will open more doors. IBM, Adobe, Amazon, Google and Microsoft are already diversifying leaving the US with nothing (well almost nothing). And as they alienated the few allies left they see an exodus to China, China of all places. 

This is the act of stupidity, stupidity on both houses that would not act when they could and now they are in patters of indecision and they are all trying to find fat jobs in global corporations before the house collapses and it is close to collapsing. This, (and a few related items) was why I tried to sell my IP to the Middle East. In the first you go where the money is. In the second you find a place where you can enjoy your golden years. Because as I see it the US will be a very dangerous place to stay soon enough. Over 200 million desperate people? Yes, that is not a place for me and when the energy shortages hit it will get a lot worse soon enough, they had options there too, but they squandered those options in the last 5 years. 

So whilst everyone is pointing at me stating that I am the stupid one (a fair thought to have) consider that my IP was right in at least two cases, optionally two more that are now evolving. Yet I have a few more and they are all destined to go towards places like Huawei and Tencent technologies. And in all honestly between nothing and  few crumbs, ill take the crumbs, especially if that results in a view like below. 

This is not my 39 coins of silver. It is merely a retirement dream that could optionally be true. And what would you do when you have the choice between what I choose and a retirement home without resources? Because that is what the US (EU and UK too) created with their ego driven decision tree.
Dousing the mouse? When was that ever a good idea, especially when it decides to cancel a billion dollar expansion? Will it go to Euro Disney? With the economic setting the French have, that might be a realistic option for the minions of Walt Disney, and the US? Well it made its own bed, to bad for them that as the others leave that sinking ship well over 275,000,000 Americans will be caught in the middle. They had their options and they voted, or they did not vote and lost their right to complain.

Have a great Friday.


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When a war is called

The thought started when I saw an article by Yahoo Finance pass by, it was named ‘Why Saudi Arabia May Be Forced To Start Another Oil Price War’, two thing came to mind, it is October, and the northern hemisphere is now going into Winter, it seems trivial, but 700 million Europeans and well over 50% of Americans (and also all Canadians) will need heating and oil is more often than not the essential fuel used. The second part is seen but perhaps missed, as we are given “The threat of European lockdowns is real, hitting global demand again while taking a heavy toll on the economy. Financial easing and subsidies worldwide have kept some demand in place, but the financials of major economies are bleak, which can be seen in the rising level of unemployment” what everyone forget is that in the past most of these people were in offices and shops, places of employment. During the lockdown all these people will stay at home and their houses, places that usually tends to be 5-8 degrees colder because they are at work, these houses will now need heating for all that time. In addition there are in the US over 1,050 power plants operated by oil, all these houses need power, all whilst many shopping centre needs less power, yet the need for power and heating will seem to rise, especially when the cold days come through. Even as some question “Global oil storage levels are still high, while the world is awash with oil and gas. International traders are openly questioning the current OPEC+ move to put extra oil on the market”, I am not convinced. Yes there is less fuel needed for jets, but jetful is only 2% of crude oil production, so I have been told in school (a long time ago), yet power and heating needs oil and there will be a shift, summer is gone, autumn is squarely here and we see a few hundred million places now needing power and heating most of the day, which stands against the needs of a working environment. As such the statement seen here “Saudi Arabia, supported by its main ally UAE, and Russia are both looking at a financial crash of unknown magnitude if oil markets don’t recover soon. Oil prices are currently too low to sustain the government strategy of both nations” becomes one of debate. I cannot counter it, but when we think things through, oil needs are essential during winter, and I see it, these people will not need gas for cars, so where is the tradeoff? Well, mot of these houses still need food, so the car remains used, to a lesser state. Yet heating and power will be needed to a much larger degree, so even as we can assume to some degree that there will be a lesser need, it will at best be a ‘somewhat lesser need’, in light of all this, why is there a call for a war (well, a pricing war)? The article still gives a truth, several in fact. We cannot disagree with “Without higher crude oil prices, not only is the Kingdom’s flagship Saudi Aramco suffering but most government projects too. The world’s largest oil company has already put several major new projects on hold, while at the same time reassessing investment levels of others. High-profile offshore projects” yes there will be an impact, and the impact will optionally continue into 2021, yet the larger stage is not how Saudi Arabia will do, the question becomes when the EU collapses after another lockdown, how will those government foot the bill for essential services (power and heating) when the trough (finance coffers) run dry?

So as we get to “If the threats made by Saudi Arabia’s Minister of Energy Prince Abdulaziz Bin Salman that the Kingdom has had enough of profit takers, short investors, or lack of support of members, are to be taken face value, the market should not be surprised if the OPEC leader decides again to go its own way. A more aggressive move by Riyadh towards market-share or oil prices is not at all unthinkable”, I start to wonder who the writer Cyril Widdershoven is and I see that he is linked to Verocy and that he oversees Mediterranean Energy Political Risk Consultancy. As such, I wonder if he hopes to create a pre-creationary wave, or that there is a stage which in the article is assigned to Prince Abdulaziz Bin Salman. I do not know (I honestly do not know), yet any quick or knee-jerk action required by others, tends to set a different stage in all this and when someone gives me ‘Why Saudi Arabia May Be Forced To Start Another Oil Price War’, I tend to wonder why something like that I needed. Yes from our side a lockdown is not good news, but who considered that they would be warming the house an additional 12-15 hours each day? 

It is well over half a day more, as such heating is required, as well as additional power, because these people will need their TV, their computer, their radio, their console and in many houses they need need close to one of each and with an additional 12 hours a day that drives up the need for power too. So yet there is every indication that there is some level of downturn for Saudi Arabia, I am merely not convinced that it will be as bad as me predict, yet I am willing to admit that I might be wrong. So I will let you do the math on what you need in your house, and consider, will it be more or less than before and when you consider that part, consider the thousands, nay millions of additional homesteads in Europe, the US and Canada. That is what went through my mind, and overall there is an impact for Saudi Arabia, but I am not convinced that it will be as dire as some say. When someone calls for a pricing war, they tend to multiple motives, that I what history taught me, I am merely thinking things through, but as stated, I might be wrong.  

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