Tuesday, September 16, 2008

Oil now under $92/barrel...

While others fret over the likes of Bear Sterns (which got bailed out by the federal government, and then bought by Chase), and Fannie Mae/Freddie Mac (which also got some protection with the federal re-org), and Merrill Lynch & Countrywide (which both got bought by BofA), Lehman Brothers now filed for Chapter 11, and insurance giant AIG is on the brink...

OH NO! THE SKY IS FALLING!

Ummm... not really. The market is shaking itself out like it always does when it's gotten too big for it's britches. Like the Dot Com Bubble, the Gold Bubble, the Housing Bubble, and now the Oil Bubble. Oil has now dropped well below $100 per barrel, settling today at $91.15 (the lowest since early February). And with the effects of the "Drill Here, Drill Now" about to kick in soon, that means even lower prices in the market. Some are actually complaining that it's a "bad" thing that oil prices are dropping, and that the value of the dollar is increasing against the Euro.

Sorry... these are GOOD things. A strong dollar, with low fuel costs, less dependence on foreign oil, an increase in jobs due to the domestic energy boom that's soon to start, plus more manufacturing jobs due to the increase in border security and crackdown in illegal immigration, and housing prices getting back to normal, combined with overpriced stocks getting corrected, failed corporations either correcting themselves via reorganization, bankruptcy, buyout or folding up tent, and a more effective federal oversight (without burdensome over-regulation or an automatic overly aggressive Fed bailout) is - repeat after me - "A GOOD THING!"

No need to panic, people. They ain't panicking on Wall Street. They did for one day. Then cooler heads prevailed once they stepped back and assessed the situation with clearer eyes and a broad overview.

The only people who actually WANT to see the markets crash, and who consider this a "good" thing in a perverse sort of way are the MSM and The Obamessiah. Now THAT should cause you concern.

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