Prime Minister Justin Trudeau and Reckless Deficit Spending Are About To Get Test Number 1: Saudi Arabia launches Oil price war – March 8, 2020,
Being that I’m from Ontario, Canada, and being that I’m not the biggest fossil fuel guy, my approach to Oil is different from the average Pro-Oil Conservative Western Canadian. My personal view on oil is that this section of the energy market would be better served without being burned. Oil does a lot for the global economy, if you’re one of those Green people unless you want to see a huge decrease in the global standard of living, you better appreciate how Oil enriches our lives.
With that set-aside, I’ve been saying for years now, that Canada better be prepared to fight for the remaining market share of the oil market, because technology is changing the energy economy so rapidly, that in a blink of an eye, your country could be on the outside looking in. Now, Saudi Arabia, namely OPEC countries have had their market share threatened which is why you’re seeing the Greta Thunberg’s of the world being pushed and promoted by entities who are magically flush with cash.
Recently Warren Buffett via Berkshire Hathaway’s $4 billion stake in a $9 billion Quebec LNG project was pulled away because of “political uncertainty”
John Robson: Canada’s stark new reality barges in after Warren Buffett pulls out | NationalPost.com
coincidently recently Hillary Clinton slammed an Alberta oilfield company for how it treated Greta Thunberg
Hillary Clinton slams Alberta oilfield company’s misogynistic Greta Thunberg decal | CBC
I also want to remind Canadians that they voted this guy in for a second term!
I sure as hell didn’t vote for this idiot, but enough of my fellow countrymen did. Trudeau aka Prime Minister Black Face has even infuriated Leftist, looking at Justin Trudeau, Bill Morneau and Chrystia Freeland could make you cringe on your best day. Why because, humans recognize entitlement and incompetence when they see it.
In Canadian politics, we have a lot of second-generation politicians leading the nation and well, Canadians might want to consider preparing for some challenges ahead.
Lower Gas Prices, Lower Loonie Higher Cost of Living
So, there’s a dog and pony show going on with Russia and Saudi Arabia, Trump has put Europe in an interesting position. Consider this for a moment, that the Welfare State in many European nations has created an atmosphere in which Europeans are finding themselves increasingly dependent on the middle east, eastern Europe and Asia, many of these countries are run by dictators!
As America becomes energy independent, even in the short term, there’s a power struggle to fight for the remaining developed countries. You lower prices to get rid of your competition, that’s how the game goes, that’s why I’ve personally never understood this obsession with Canada devaluing its currency. Well, my dear Canadians, being that we’ve strangled our manufacturers with over regulations, get ready for real inflation if the Canadian dollar drops!
The reason a country wants a strong currency revolves around imports! It’s cheaper to import when you have a strong currency, but you see the bigger your public sector is, the more money your public sector needs to finance itself. Canada, unlike most third world nations, already has the infrastructure. Most of the infrastructure in Canada could be maintained and developed by the private sector. However, Canada has decided to take a more novel approach to things.
So being that Canada has a giant public sector and I like to include Crown Corporations in the Public sector discussion because Crown Corporations or corporations in Canada which are protected or propped up by the Federal and Provincial governments create a business atmosphere which causes entire industries not to have ANY competition.
It’s hard to discover market-prices when there’s no market to measure prices against. When you have an honest financial system, tariffs handle foreign entities driving prices down, however, when we as Canadians are manipulating our own currency in a time of global prosperity, putting us in a position of weakness, distorting prices and creating unnecessary economic bubbles, well when unexpected global events happen, we get tested. It will be interesting to see what happens to the Canadian dollar while OPEC reasserts itself.
Because as many people have been saying, how long can this zero percent interest atmosphere last? If demand grows for the U.S dollar and foreign countries have U.S dollar-denominated debt, the cost to pay back that debt gets a whole lot more expensive in their local currency.
Canada is in a disastrous position if the Canadian dollar weakens. Canada has artificially created inflation that has created economic bubbles all over the country, the bank of Canada can’t lower interest rates to fix the problem and inflation is going to go up for consumers as the Canadian dollar loses its value. The Canadian government can’t price control imports!
This could be something minor or it could be something OPEC does to strangle its competition, Canada oddly enough has some internal problems with bringing its energy to market, what Trudeau doesn’t want is for the global investor to not consider the Canadian dollar a Petro-Dollar! You see in America, at the very least they make some very good weapons! America isn’t a one-trick pony economy like Canada has become, entire countries are dependent on the American military. Moral, immoral doesn’t matter, the U.S dollar has a reason to be a safe haven, Canada on the other hand, well… let’s hope Saudi Arabia is flexing some muscles!
Oil crashes by most since 1991 as Saudi Arabia launches price war | CNN
Interesting times ahead!