Posted on 03/12/2006 7:45:31 AM PST by rellimpank
The oil exporters of the Persian Gulf are flush with cash. Some of that money is going towards acquiring P&O, the British shipping concern, thus sparking off the heated controversy over foreign control of U.S. ports. This has led people to worry that Arab petrodollars might be scared away from the U.S. In fact, unlike during the last oil boom of the late 1970s, relatively little of the current Arab oil surplus has been directly invested in U.S. assets or even deposited in the international banking system. This time much of the oil money has remained at home, where a classic speculative mania is now being played out.
Lawrence of Arabia took the title of his celebrated book
(Excerpt) Read more at opinionjournal.com ...
Money, oh great! They can buy the Senate, The Court, The Presidency... Oh wait, they have bought most of all that already.
The seventh pillar is the madness of crowds: Newspapers gleefully report stories of police called to protect banks from overeager IPO subscribers. A Saudi woman is said to have been divorced by her husband for no reason other than that he'd had lost money in the stock market. Up to two million of the 16 million Saudi population are said to be playing the market. Interest-free loans are commonly available. Saudi bank foyers are lined with LCD screens showing stock movements. A local TV station has started to provide stock market reports. The education minister has warned teachers to stop day-trading at schools. People are quitting their jobs to trade.
I am reminded of a financier who said that he knew
the crash of '29' was coming when his shoeshine boy started
giving him stock tips.
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