...manipulation has been the reason that oil prices were massively over-inflated for the past two decades, and the current plunge is an example of what happens when some of the floors are removed from under that propped-up price.
Assuming that this is just a game of chicken, time is not on Greece's side. Greek finances would dry up within a month of the end of the current agreement... But things are not much rosier for the Eurogroup.
The problem here is that debt itself is the problem, but as we all know... the very monetary system upon which our entire economic house of cards is built is based on debt-based central banker funny money.
So it seems that the deflationary cycle has come to an end...for the moment. But there is still life left in the US dollar bull market, and thus further commodity deflation is highly likely.
This Peer-to-Peer economy that is rising up to replace the Industrial/Information economy is difficult to see in its totality, but is everywhere around us.
...now that this is becoming the fashionable new mini-stimulus for countries suffering in the doldrums of this deflationary cycle, it isn't quite so surprising as it once was. It's now almost predictable.
...what is at stake with every royal succession is not just the domestic politics of Saudi Arabia, but the course of geopolitics and, ultimately, the global economy.
...As is now standard practice in the “new normal” of the post-Lehman world, all eyes are now on Washington where the Fed is currently engaged in the first FOMC meeting of the year.
Whether or not Draghi was really planning to announce his stimulus program this week, the surprise Swiss franc decoupling of last week left him no choice.
... however the SNB fallout lands and whoever it lands on, it's not doing anything to help the bleak outlook for a world on the edge of deflation.
What we know for sure at this point is that the fallout of this move is going to be massive, long-lasting, and global. Some traders are already predicting the collapse of financial institutions and smaller hedge funds.
There is a case to be made that the potential downside of this round of deflation is worse than catastrophic. There is an estimated $22 trillion worth of global commodities-based derivatives.
For all the hoopla, you might have thought this was going to be something historic. But in retrospect, all the swollen, self-important talk about the Eurasian Union seems horribly out of step with the reality of what has been birthed here.
...deflation remains the bugbear of the Japanese economy, even after the unprecedented easing in recent years by the Bank of Japan.
Why is it that in contemplating the future our thoughts usually turn to disaster and calamity? Why are we seemingly incapable of imagining things going well for a change?
All of these revolutionary actions represent people interacting directly with each other in ways that cannot be interfered with, regulated or proscribed by the globalist institutions that are seeking to bring about their New World Order.
Sanity will likely return once the markets have had time to process the move, but the wild market volatility displayed this week shows just how unbalanced these markets have become and just how delicate the situation is.
This is, of course, the New Cold War narrative, and although a lot of the attention has been shifted onto Russia this year, China has for years been painted as the new Red menace for the 21st century.
If politics makes strange bedfellows, economic crisis makes even stranger ones. Venezuela is already tens of billions of dollars in debt to China and uses half of its oil shipments to that country to pay down existing debt...
The fact of the matter is simple: there is an economic war being waged on Russia. and that war is starting to take its toll on the Russian economy.