Beef is Broke: Looking To the Future

After the holidays and since gas has stayed cheap, some people have been able to save a little extra cash, just in case things get worse.

Well, like every correspondents has stated, it’s going to get worse before it gets better.

The good news is that market movements create great opportunities for those looking to risk some opportunity cost in order to tie their money up for a little while. Now, I’m no finance/economic genius, but it didn’t take one to know that Oil was going to drop from the $140 mark that it was at last year. Without economic crash, I expected prices to drop down to around $78. My pops and I were pleased when this happened, not just because of the cheap gas, but because we made a smart play and sold short.

Now, oil is around $35-40 a barrel and that does not sound right either. In fact, it is inevitable that low prices and the upcoming summer/hurricane season will drive prices up to at least $60 a barrel, if not $80 or higher.

This, coupled with the fact that by next year, the lack of investment in new oil fields and new projects is going to slow supply, and you have the makings of the next oil crisis, just on the horizon! Imagine what tight mideast relations and a terror scare could do!

Markets are all about timing and patterns. Be patient, and learn to time things right, and it is possible to make lower-risk, higher return investments, in these modern markets that fluctuate greatly every couple of years.

We will be back on top before the Olympics come back to the states, but not before a lot of other things happen first.