Not saying I agree, just saying this is what is happening IMO. Supply chain constraints, blocking materials at the ports and increasing taxes on Chinese imports after a global pandemic originates in China seems like really bad luck for our political rival.
This does suck and the rich will get richer, poor will get poorer. MENA (OPEC) will play the game to get more money from oil during an energy crisis.
We have inflation, yet the dollar is at ATH vs other major currencies sounds yet again like “we lose a bit, you lose a lot”.
Inflation is calculated by the CPI for a reference point. It cannot use all expenses. Yep, some items are higher priced, than CPI. For for calculating its best to stick to the same items as a baseline.
I’m aware that we are using Potemkin numbers for the Kabuki theatre.
The numbers that matter are the ones coming out of the bank accounts and wallets of my fellow Americans and I for basic living expenses and consumable goods.
To be fair if you buy we can switch to all EV then you’d want to drain SPR( I do not buy this but saying it makes sense given current admin beliefs) or keep it at a lower level. These historicals re “ lowest level since 1980s or etc “ are pretty pointless
Unless we have to use oil for something like a huge war(WW3) or Hurricane Ian would have hit gulf coast where refineries are located. SPR is there for emergencies. Last time it was used heavily was after Hurricane Katrina. Not meant to be used to artificially lower oil prices. Oil is used for more things than personal transportation. EV’s only make up 6% of new car sales anyways, we are far from the point were EV adoption makes an argument to lower SPR. To be honest it is a national security risk if it keeps going lower.
