However, this would result in more employment because American petroleum fields will be busier than ever. The Permian field in Texas and the Bakken field in the Dakotas could experience much more production.
Sounds like it is about time for a sit-down with Trump to try and get a handle on all these issues and bring the Fed Governors in as well.
Have them come to Washington.
Lots of economic doom and gloom on this forum today.
I love the Trump economy, but we are in uncharted territory with ever escalating world debt to keep the welfare state thriving. A geo-political black swan could trigger a collapse.
More pre election propaganda.
The Fed continues to hike interest rates, which is having ripple effects across the world. Borrowing costs are rising, making it more expensive not just for individuals, but for companies and entire governments. The strong dollar is putting pressure on emerging market governments and their currencies, making dollar-denominated debt painfully expensive.
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That’s all you need to know. The Federal Reserve is once again manipulating us and much of the world into recession.
Interest rates should be determined by the markets, not Ivy League elites.
“The Fed continues to hike interest rates, “
There, in a nutshell is the answer.
5.56mm
The web site where this is linked is constantly stirring the pot about oil prices. Either they are going to $100 or they are going into the toilet, frequently in the same week. They quote analysts with the same banks and put different alarmist headlines on it to generate clicks.
Nothing has changed in the last two weeks. Oil prices will remain basically where they are and folks with continue to drill wells and make money. This article is just yellow internet business journalism.
I do think oil is a little frothy, but reject this all out negative look on the economy. Though it is possible to see a divergence of the American economy from the rest of the world.
We’re in the early stages of the economic recovery...the REAL economic recovery from the 2008 financial meltdown. There effectively was no recovery during the Obama years. There’s a lot of pent up demand and still some slack in the labor market judging by the labor participation rate still being 3-4% lower than it was in 2007.
With Companies repatriating billions and billions that had previously been parked overseas due to the US’ ruinous corporate tax rates and with the full benefits of the massive deregulation not felt yet and with the better trade deals President Trump has so far extracted from Mexico, Canada and South Korea along with the ongoing negotiations with the EU and with China certain to have to bow to the pressure before too long, I’d say economic prospects for America look excellent for years to come.
We seem to have forgotten just how very low interest rates are today, compared to historic norms. I bought my first house in 1993 because I thought I’d never see interest rates that low again. It was 7%. In a healthy economy, savings accounts and CD’s are rewarded with a stable return. That’s not the case now, no one in their right mind would try to live off of interest from savings, yet not so long ago that was once a mainstay for retirees. That needs to return. That means interest rates have got to rise. Yes it will mean interest paid on loans will increase also, but we somehow survived normal interest rates in the past. We’ll survive again.
Regarding this economic gloom and doom, note that it’s directed at emerging markets meaning the third world. We are not an export driven economy. We are now the world’s number one oil producer. We are benefitting from oil prices as they stand. Fracking continued to expand even in the face of OPEC attempts to shut it down by tanking the price of oil by flooding the market, not all that long ago, just a few years.
Also, the article’s assumption appears to be that this economic expansion somehow dates to early in the Obama era. I’ll go out on a limb and say we’re experiencing the first real, sustainable growth that is not wholly a phenomenon of government stimulus spending since before 9/11. This expansion, the real one, began with the Trump administration. So, the expansion is really in it’s infancy yet.
But, I don’t want to sound too pollyannish about things, global finance is still in a rather precarious state. Trouble in emerging markets could rapidly escalate into a contagion given the global nature of finance, so it’s not wise to dismiss the matter, just as it’s not wise to give into excessive doomer prognostications that are oddly arising just now, right before US elections.
We as a nation need to keep doing what we’ve been doing, keep working, building, producing, saving, investing and spending. We’re our own source of continued economic success, no one else is, they’re all dependent upon us. If the financial system melts down again, well, that will hurt but our economy is not dependent upon exports, we’re dependent upon imports and trying mightily to change that. The US is still a safe haven, scared money will flee from around the world into US financial instruments, even bonds, driving interest rates back down again. That’s how it’s supposed to work.
If you really believe things are that precarious, buy precious metals although I think they’re still too high for any real upside to buying them, personally. Just don’t turn into a gold bug and think it’s a buy and hold investment for the long term. Get out of it the minute that economic fear begins to ease, because that’s when precious metals will begin to fall once again.
Just my two cents on the matter, I’m sure opinions will vary.