In International Events, There Are No Coincidences:
Two weeks ago, in my blog we discussed how we Americans for 40 years have made the mistake of projecting our reality (Christian values) onto the Chinese who are communist and therefore pagan/heathen. Instead, we should have acknowledged their reality in our decision-making process. That would have allowed us to celebrate their “Consistency is a virtue”. Strike one.
Last week we explored the signs that the Wuhan Virus is part of a hegemonic struggle and how the result of our projecting our reality on the Chinese was that we played the “Village Idiot”. Part of the “Village Idiot” experience was electing and re-electing politicians whose only interest is in “Never waste a crisis to build their power base”. That was strike two.
The third strike would be to believe in the Saudi vs Russia oil dispute as being a “coincidence”. Instead of working together to cut back oil production in order to maximize the price of oil, these two behemoths of OPEC have been trying to out produce each other. As a result, the price of a barrel of oil has declined to levels unseen for decades even reaching below $20 per barrel. I read one analysis that pegged Canadian oil at $5 per barrel. Totally illogical, there is a motivation.
It has been reported that most if not all oil tankers are now full and being used as floating storage. Most storage on land is also full. The “Shelter in Place” here in the USA has dropped oil consumption in a huge manner which exacerbates the price decline. Some markets have gas selling for $.95 per gallon.
As a consumer I cheer the drop in gas prices. But the media is missing the real story. As I mentioned in last week’s blog, last fall Premier of Life Xi visited Russia and then came home to receive a medal that was inconsistent with the significant turmoil occurring in China. It got my attention because it was more logical for Xi to have been “retired”.
The question we must ask is – “Who wins and who loses from the Saudi vs Russia oil dispute?” Here are my answers:
- American Oil Industry – The target of the oil production conflict is the American frackers because the price for oil being this low quickly puts our oil fracking industry under water, bankrupt, DONE. Destroy the American fracking industry and the USA becomes dependent on OPEC again. That would be a huge shift of power.
- China – The largest oil importer gets cut rate oil.
- Russia – Gets to poke the eye of the USA because Russia hates the sanctions against Russia over the Ukraine invasion.
- BIGGEST WINNER – China – The confusion and chaos allows China to exercise its power and contest the status of the USA as the Hegemon. China thinks it is the rightful Hegemon. The combination of #2 and #4 is worthy of a medal.
Want confirmation? Why did the following interview occur and get published last Saturday by Fox News?
“NORTHCOM commander says military is treating coronavirus pandemic like a campaign: ‘We are part of this fight’”.
The article went on to describe how the military is rotating and quarantining those on watch in their special mountain base so that they are fully staffed and ready. Do you think the U. S. military was targeting we Americans for reassurance or the Chinese and Russian leaders as a warning?
Last week, the captain of the U. S. aircraft carrier “Theodore Roosevelt” broke the chain of command and with his press release made the entire world aware that the critical USA asset he was commanding was compromised. Beyond stupid, that was severely dangerous.
Obviously, President Trump has much better information than do I. There is a chance that my conclusion is wrong, but this pattern appears to me to be obvious… we are in a Hegemonic struggle. And therefore business decisions need to be made with that being part of the analysis.
Please allow me to repeat part of last week’s blog below in BOLD:
Americans are correctly undertaking to save the lives of millions of fellow Americans, a vestige of our former status as a Christian country. But the painful ripple effects have just started. This crisis will be a two-year experience with periodic goods news but a recovery in several stages:
- Stimulus Bills – will build a floor under the collapse providing some stability by the end of April;
- An initial, tepid recovery will start once therapeutics are available in sufficient quantity combined with a medical system that has gotten its feet under it (my guess is late June);
- A second stage of recovery will occur in one year when a vaccine is in sufficient supply to vaccinate every American against this new disease that will be with us forever (perhaps 2021);
- The final stage will come when the bankruptcies have cleared away the debris and businesses have gotten back on their feet so that they can expand again (2022).
Over the last several decades, we Americans have been lulled by globalist leaders and media who promised us cheap stuff as our manufacturing base was exported to China. China must have laughed as they “forced” our companies to give them US technology in order to build factories in China to then sell back to us cheap stuff.
Beginning next week we will begin to estimate the cost of the “Hegemonic Struggle” from playing the “Village Idiot” to the Chinese in return for cheap stuff and explore some of the potential positive and negative ripple effects relative to our economy in general and the land market in particular.
Continuing to quote the Apostle Paul, one of my favorite historical characters, I suggest you read in his letter to the Romans 8:28
“We know that all things work together for the good of those who love God.” (Oxford University Press, New Revised Standard Version).
God is in control. We are responsible for the effort, but God is responsible for the result. I serve an awesome God.