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Losing faith in the value of the dollar in the face of our crazy fiscal position? The one thing that baffles me is energy prices. We haven't seen this oil/gold
by zubiaur 1y ago
Losing faith in the value of the dollar in the face of our crazy fiscal position?
The one thing that baffles me is energy prices. We haven't seen this oil/gold ratio since the pandemic, when demand for oil plummeted.
- HPsquared 1y agoEVs and renewables might account for reduced oil price.
- JKCalhoun 1y agoEVs appear (to this midwesterner) to be in the noise. Renewables though…
- bryanlarsen 1y agoChinese oil imports are down in 2024 and 2025. It's not a big drop, but it's real. And for commodities, small changes can swing prices significantly. butchered quote: 99 buyers, 100 sellers: price goes down, 101 buyers, 100 sellers: price goes up.
- syncsynchalt 1y agoRenewables are a quarter of electricity generation now, and in some states are the majority of generation. They're also a decent chunk of all energy though that number's harder to pin down. GDP is no longer tied to fuel consumption. You can't fight near-free "fuel" and near-zero opex, the renewables slice is only going to increase. I wouldn't trust any metric or rule of thumb tied to coal/oil/gas prices any longer.
- ruined 1y agofor the past century, the global economy has been a machine for turning fossil fuel into money. carbon output was very directly correlated with growth. that hasn't really changed yet but the writing is on the wall. also, manufacturing and shipping just fell off a cliff.
- hshdhdhj4444 1y agoAll of this is consistent with expectations of a slowdown or recession. The only exception is the stock market but I believe there’s a lot of literature that if you remove the AI stocks from that there isn’t much S&P growth either. Additionally with the dollar dropping over 10% the stock market real increase isn’t as high as it appears either.
- pwarner 1y agoI was just wondering if oil is the next asset to inflate.