Saudi’s Oil Minister fired and China’s weak import/export numbers
There was a lot of noteworthy news this weekend that we discuss with Chris Temple from the National Investor. First we heard that Ali al-Naimi, the 80 year old Saudi Arabia Oil Minister, was fired. Mr. al-Naimi was widely regarded in the oil sector for bringing OPEC into the power position it has grown to. Chris has some interesting comments on why he thinks this happened now.
We then move into the weak import/export data out of China. Compared to a year ago exports fell 1.8% (a fall of 0.1% was expected) and imports fell a whopping 10.9%. This is concerning for not only China but the world in general.
This is a longer interview but there was a lot to cover.
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Nor do I Confused
Great show guys. You covered so much I hardly know where to begin other than to say I agree 100% with Chris comments that there were no fundamental reasons whatsoever for base metals, ores, copper or even precious metals to be soaring to the heights they went. All are coming down now and i am getting confirmations these declines will continue.
Thanks, Bird
Maybe I will add one more comment…….
It sure is quiet around here today. And I am betting almost nobody heeded my warnings of last Friday because nobody believed gold could fall back. Not that I expect them to listen because I really don;’t care one way or another.
It’s working for me though.
Point taken Bird. One day does not constitute a trend.
Absolutely true John. But they are a funny group sometimes and just can’t tolerate a down day even though they are happily out in force banging pots and blowing whistles each time gold moves up.
I just cannot understand that. Rule number one….don’t marry your trades.
It’s a blip, Bird.
Question is. Is it a little blip or a big blip ?
Answer , nobody has a blipping clue.
I think the replacement of the Saudi oil minister is simply because the hawks in Saudi have taken over.
I think they will increase production, or at least say that they are pumping more, and the price of oil will be forced lower.
I think, unknown to most of us, that over the past few months there has been a generational war going on within the top of the Saudi regime. Those who have been in place for 30 or 40 years lost.
The new guys are looking to the next 40 years and not the next 10 IMPO.
Oil price will continue to fall . world wide over production is real. I am still short Cenovous CVE at a large loss , but mailtain my position as i thiink we will revist lower oil price . best of health and wealth to you all S
I’m expecting a low of 1250 for gold. There were several alternate waves that tend to lower values. 1250 is right at the trend line. But, heck,you never know. We’ll see how the Nikkei does…. Right at this time, it’s up.
If China crashes here this will be the largest black swan blow out in history and commodities, gold, Canadian/Australian housing bubbles and currencies will crash.
I don’t see how the West or East will let this happen without a major league money-printing fight.