From Gotti today:
In the oil market we are witnessing one of the greatest commercial battles seen in the 21st century as the US ‘shorting’ industry and the Saudis, plus other OPEC producers, attempt to destroy the US shale oil industry. And if they succeed there will be many other casualties.
On the other hand, as I will explain below, the US hedge funds believe the oil price war is a chance for them to make their greatest ‘killing’ in recent history.
Among the casualties will be the unsecured creditors of those who are destroyed in the oil battles. Last night, as nickel prices fell again in the wake of the oil-driven commodities decline, I was reminded that if Clive Palmer closes his nickel refinery in Townsville, employees will receive compensation if they lose their jobs, but the multitude of small suppliers to the plant that are unsecured creditors will get no compensation. Many will go to the wall, compounding the Townsville disaster.
…The Saudis must see the US as a strange beast. Not only did John Kerry start the war but now the damage to the US is being compounded by New York-based hedge funds.
It’s called a “market”, Gotti. Acquaint yourself with it.
Folks who invested badly need to be cleaned out. They’re not “victims”, they’re dead wood making us all poorer.
