LNG exports would help if we have had ways to transport them to other countries. All construction of LNG terminals has been effectively blocked by a deliberately complicated permitting process with onerous environmental, racial, gender and other extraneous regulations.
https://ieefa.org/new-fortress-lng-plant-in-pennsylvania-on-hold-after-legal-challenge/
Brent crude, on the ICE, has crossed the $120 mark.
This could go in the Ukraine thread, but thinking more of the domestic / inflationary pressures, I put it here. It goes into all the materials and components for farming that have exploded in price or are facing shortages and supply chain problems - nat gas behind fertilizer, herbicides, fuel, labor, semiconductor chips, etc. of course itâs from a blog selling Doom, but that doesnât mean their wrong on their facts.
Belarus is the third-largest supplier of potash in the world and its state-owned miner, Belaruskali, declared force majeure after sanctions were imposed by the US and Europe. The number two supplier of potash globally? Russia. Perhaps front-running the Russian move on Ukraine, China halted phosphate exports last fall in an effort to ensure adequate domestic supply.
We believe we are at the onset of a global famine of historic proportions. In a staggering defiance of logic, many US politicians are still attacking the lifeblood of our own energy production infrastructure, looking to score political points against âthe other team,â blaming price-taking producers of global commodities for gouging, threatening producers of energy with windfall profits taxes, resisting calls to remove bureaucratic hurdles to new production, and refusing to open an introductory physics textbook to help guide them through the suite of policy choices that require true leadership to get right. They remain stuck in an endless loop of platitudes, blamestorming, corruption, and ignorance.
Hereâs another article on the same topic with less Doom
Russia was until recently the second largest foreign exporter of fertiliser to the US, providing 10 per cent of the total supply. But it is not the only reason prices are rising. As a March 11 release from the US Department of Agriculture put it: âFertiliser prices have more than doubled since last year due to many factors including [Vladimir] Putinâs price hike, a limited supply of the relevant minerals and high energy costs, high global demand and agricultural commodity prices, reliance on fertiliser imports, and lack of competition in the fertiliser industry.â
âFarmers here are already making a decision to apply less fertiliser because of prices,â says Joe Maxwell, a Missouri farmer and co-founder of the Farm Action network, an alliance of farmers, ranchers and food system workers, most of whom work outside of the large corporate agricultural sector. âThat will mean lower production, and that is in turn one of the things that could spark global instability.â
No way we see famines here in the US, and it would do the typical post-covid American waistline some good too, but places less rich will be unable to bid on the more limited, expensive food supplies and they will be the ones who suffer. Here, we will just call it food price inflation and the media will tell us inflation has always been Putinâs fault.
Although theyâre selling doom, so is President Joseph Biden ⌠or at least until his handlers correct his opinion. Hmm ⌠maybe he needs re-educating just like real freethinkers.
port congestion commentary
40% of US imports go through the west coast. There arenât enough trucks or containers still. Things that used to happen in 2 days now take 2 weeks. Distribution centers arenât large enough, and the containers canât be allocated quickly enough. Next-day delivery may sound very nice, but it isnât just ships and ports. The entire supply chain has been affected, and COVID exacerbated it a bit. These things will take a while to correct themselves, and this is why I donât see this normalizing all of a sudden or even anytime soon.
I think we will see an increase at LA/LB over the next few weeks due to the 0-COVID policy in China if it continues. Also the hinterland concerns in the US are an issue, and weâre starting to see a buildup on the EC too. Looking at Global Port Congestion Index is close to all-time highs. This wonât be over anytime soon as far as we can see from the data we analyze. Not only LA/LB, but also European ports in the Baltic and Black Seas due to Ukraine/Russia.
china congestion too due to covid shutdowns and delays
CEO comments on inflation, labor shortages
US 1-YEAR CONSUMER INFLATION RATE EXPECTATIONS 7.9 PCT IN MARCH VS FEB REVISED 7.1 PCT (PREVIOUS 7.0) - CONFERENCE BOARD
Fed chatter. not exactly inspiringâŚ
Who could have guessed that injecting all this free money in the economy for so long could possibly lead to inflation? Some experts I swear. More like mindless drones.
source quote please, if for no other reason that an old country boy can figure out LA/LB ⌠and I sure hope it ainât some liberal transgender thing.
Forgive my ignorance, but what was so uninspiring, except the last bulletpoint?
Iâm guessing Los Angeles / Long Beach, Ports of.
Thatâs only one of the factors. We injected a bunch of money in 2008 too and that didnât lead to inflation.
I went back and highlighted it, the part about being surprised that printing $5T over the last two years might lead to inflationâŚ
Fed balance sheet actions have been way bigger than anything they did in the 2008 crash.
some shipping analysts. LA/LB was as scripta said, Los Angeles and Long Beach, the main west coast ports.
It is âonlyâ 7.3% but thatâs very unusual for Germany. notice the major hit is from energy thanks to Merkelâs âgreenâ energiewende
According to official statistics, headline inflation reached 7.3 percent in March, a 2.5 percent increase on the previous month. Energy has continued to have considerable impact with inflation in costs swelling to 39.5 percent - compared to 22.5 percent in February.
I am seriously dismayed by this inflation, which Iâm noticing personally. Luckily (and it is just pure luck) I am able to survive the situation, even though it is very costly. I realize most posters here are also going to be OK, though a few retirements might end up being delayed.
My thoughts go constantly to the large number of Americans who are not so well off. There are millions of such folks. They are Americans who rely on Democrats to stand up for them. But even though Democrats are in power across the board, those poorer Americans are getting their butts kicked. Inflation is such a regressive tax! I guess many will be driven onto the welfare rolls, and maybe that is the hoped-for outcome at the top, with wealth redistribution and socialism as the real goals.
I certainly donât know what the âgreat mindsâ are thinking. But if you look at Bidenâs latest budget, or pay attention to his Fed nominees, it doesnât appear they are worrying much about inflation. This is not a good situation at all for our country.
Polls must be really bad, since Biden is considering a huge, record release from the Strategic Midterms Re-election Reserve.
LONDON (Reuters) -Oil prices plunged on Thursday on news that the United States was considering a 180 million barrel release from its Strategic Petroleum Reserve, the largest in the near 50-year history of the SPR.
To put this in context, drawing 1M barrels/day for a year would bring the reserve down to around 1/3 of its capacity, meanwhile 1M/day is also only 10-15% of the Russian production weâre trying to keep off the market. Who wants to bet the US ends up paying $150+ to refill that reserve?
Russians going to be cutting capacity due to storage issues soon
And OPEC telling Biden to stuff it with his request for more production
OPEC WILL STICK TO EXISTING PLAN FOR OIL-OUTPUT INCREASE AT MEETING LATER ON THURSDAY - FIVE OPEC SOURCES
OPEC JMMC MEETING RECOMMENDS STICKING WITH EXISTING OUTPUT POLICY - SOURCE
https://finance.yahoo.com/news/biden-team-weighs-massive-release-005651511.html
Hell hath frozen over. The $1 fresh-baked french bread at the Walmart bakery is now $1.10âŚ
Gas prices are high in Jan because Putin invaded in FebâŚ
BIDEN TO ANNOUNCE LARGEST OIL RESERVES RELEASE IN U.S. HISTORY
U.S. TO RELEASE 1 MLN BARRELS A DAY OF OIL FROM STRATEGIC RESERVE OVER NEXT 6 MONTHS - STATEMENT
SENIOR U.S. ADMINISTRATION OFFICIAL SAYS IT WILL TAKE MONTHS NOT DAYS FOR ADDITIONAL U.S. OIL PRODUCTION TO COME ON LINE
SENIOR U.S. ADMINISTRATION OFFICIAL SAYS OIL RELEASE FROM RESERVE HAS BEEN COORDINATED WITH ALLIES AND PARTNERS AROUND THE WORLD
So thatâs the plan. Dump it now until midterms to suppress the gas pump prices and blow a bunch of money on clean energy stuff that wonât be ready to replace fossil fuels for a decade or two.
WHITE HOUSE SAYS BIDEN WILL ISSUE A DIRECTIVE, AUTHORIZING USE OF DEFENSE PRODUCTION ACT TO SECURE AMERICAN PRODUCTION OF CRITICAL MATERIALS TO BOLSTER OUR CLEAN ENERGY ECONOMY
SENIOR U.S. ADMINISTRATION OFFICIAL SAYS WILL RESTOCK OIL RESERVE WHEN PRICES ARE LOWER
Good luck with that last part. I guess maybe if the Fed causes a recession, demand might drop enough that oil prices fall, but even then I have my doubts.
