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Scorpio

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perfect storm hammer,

buy it up now and dump it back in when market goes back to the 60's 70's eventually a year or 2 from now

but, I am stating the economy recovers compared to all the others proclaiming this is the end
 

BackwardsEngineeer

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Scorp, we have crossed the rubicon. No matter ones thoughts, origin, severity, intended or bat soup of whole virus ordeal, it is playing out full force in a boatload of critical business models. Everything from tires to trunk lids on cars, food chain en mass, who would of thought a virus would destroy our hospital systems as the for hire cut and sew has ceased pushing many to bleed red at unprecedented levels. Coming to a .gov near you.....

I still believe the biggest of hammers still getting ready to drop is the retrained and conscience consumer. Now awakened and not spending needlessly on shiny objects or worthless thrills...
 

hammerhead

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perfect storm hammer,

buy it up now and dump it back in when market goes back to the 60's 70's eventually a year or 2 from now

but, I am stating the economy recovers compared to all the others proclaiming this is the end
We will always have an economy. Oil products are too deeply ingrained around the world.
 

hammerhead

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Scorp, we have crossed the rubicon. No matter ones thoughts, origin, severity, intended or bat soup of whole virus ordeal, it is playing out full force in a boatload of critical business models. Everything from tires to trunk lids on cars, food chain en mass, who would of thought a virus would destroy our hospital systems as the for hire cut and sew has ceased pushing many to bleed red at unprecedented levels. Coming to a .gov near you.....

I still believe the biggest of hammers still getting ready to drop is the retrained and conscience consumer. Now awakened and not spending needlessly on shiny objects or worthless thrills...
Which will cause prices to drop. I'm no economistical kinda person but what I've seen is run away costs. Greed may have fueled it, IDK. I don't live in that world but it appears to me many do.
 

the_shootist

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Which will cause prices to drop. I'm no economistical kinda person but what I've seen is run away costs. Greed may have fueled it, IDK. I don't live in that world but it appears to me many do.
The days of fat assed Americans living beyond their means is over. I've never lived in that world either. Perhaps that's a good thing
 

BackwardsEngineeer

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Keep in mind how cash flow works... March costs are paid by Dec/Jan invoices. April paid by Jan/Feb invoices which is the last of normalcy business wise. May is the first month that invoicing is beginning to be affected by the absurdity. June invoices will be march / April invoicing that my friends will reveal Warren Buffett's infamous naked swimmers!

What we are seeing to this point is whining from the poorly funded/run businesses... wait until it hits the June when many a "S" corp/ LLC are going to dig deep like never before just to be "in" business
 

Scorpio

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Jun wti hit a low of 6.50 and now at 10.33

been getting crushed now that its head is up to the guillotine
 
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Strawboss

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Jun gold hit a low of 6.50 and now at 10.33

been getting crushed now that its head is up to the guillotine
I am hoping you are talking about WTI and not gold...
 

Scorpio

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edited, gracias re the typo
 

Scorpio

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our own Founding Fathers made the following comment yesterday:

'I want to teach a Finance Class someday and start by saying "On April 20th 2020 WTI was a great short at Zero." and watch heads explode. '

a short when the price is zero, and a great short at that!

too funny,

I had to see it to believe it for sure,
 

BackwardsEngineeer

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It will take some pain to change the addiction to debt. Not all of it is by choice though. Prices are ridiculous.
My best buddy is a counselor at one of those super expensive treatment centers. All he will say when asked about mass simultaneous withdrawal, is that he prays he's not here to witness it... We have been in collective denial... but beginning to wake up
 

hammerhead

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My best buddy is a counselor at one of those super expensive treatment centers. All he will say when asked about mass simultaneous withdrawal, is that he prays he's not here to witness it... We have been in collective denial... but beginning to wake up
He may need counseling. Maybe Founding Fathers can start his classes now.
 

JayDubya

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They'll wreck the currency if they have to

Nearly seven centuries ago in the mid-1300s, the first major outbreak of the Bubonic Plague forced Europeans into some of the harshest social distancing measures in history.

As Boccacio wrote in The Decameron in 1353, the hysteria was so extreme that “brother abandoned brother. . . fathers and mothers refused to see and tend their children, as if they had not been theirs.”

When people sensed the worst was over, they slowly came out of their homes.

There was no grand re-opening of the economy like some department store suddenly under new management. People remained highly mistrustful of one another, continuing to avoid even the most basic interactions with friends, family, and professional colleagues.

Commerce was slow and the economy remained depressed for years.

And just when it seemed that the situation was finally starting to improve, the plague struck again in 1360. And again in 1374.

Medieval Europeans quickly realized that if there was just a single rat left on the planet carrying the disease, then another wave of the pandemic could begin anew.

And that made it next to impossible for anything to return to normal.

Only a handful of industries flourished after the plague. People still needed to eat, so agriculture did well.

And as more people remained in relative isolation, science began to advance at a pace never seen in western Europe.

But most industries suffered immeasurably.

Commercial trade dwindled. Italy’s woolen textile industry practically ceased to exist. Many prominent banks in Europe collapsed. And there were even government debt defaults.

Today our circumstances are obviously different. The world has some of its brightest minds working to eradicate this pandemic, and they have a pretty great track record.

And while there are certainly a lot of challenges to deal with, we’re still able to produce certain goods and services, ship them across the globe, and order online for home delivery.

But there are some similarities that are difficult to ignore.

Right now most people are barricaded in their homes while policymakers wait for this virus to die off.

But that’s not how biology works.

Just like in the 1300s, if there’s even a single carrier of the coronavirus remaining, then the whole thing starts over.

That person transmits the virus to 2-3 people, those people transmit the virus to 2-3 other people, and the exponential growth curve begins again.

Lockdowns don’t kill off the virus. They just reset the clock.

I’ve been writing about this for a while: what happens if there’s a second wave of outbreaks? Do we all go on lockdown for another two months and send the economy into another tailspin?

Even when they do lift the lockdowns, countless industries will be hideously disfigured; do we really expect crowded bars, airplanes, sports stadiums, and shopping malls to return to normal?

Even something as basic as office space could take an enormous hit.

I wrote last week that big businesses could be downsizing-- permanently reducing their work forces and cutting back on office space. Even Disney acknowledged that they will reduce office space.

It’s hard to imagine that trend won’t have a major impact on the entire commercial real estate industry, from agents to construction companies to property owners, to the banks who own the mortgages.

Retail stores have been totally vanquished, and the bankruptcies are piling up; this could impact millions of workers in the retail sector and trigger a wave of defaults against the banks who loaned money to retail giants.

And you probably saw yesterday that the price of WTI crude oil crashed BELOW $0.

We’ll talk about that more in another letter... but it’s fair to say that low oil prices will force a lot of oil companies out of business.

And that will impact workers in the sector who stand to become unemployed… and, yes, the banks who loaned money to oil companies.

[According to a recent report from investment firm KBW, some banks, like Oklahoma-based BOK Financial, have more than 100% of bank equity tied up in loans to oil companies!]

I’ve been writing about this theme since the pandemic started: there will be some banks that don’t make it. They simply won’t be able to withstand the loan losses.

And it’s not just the energy sector.

Banks with loans to retail companies could take a hit. Banks with commercial real estate loans could take a hit.

And banks’ consumer loan portfolios will undoubtedly take a hit as millions of newly unemployed people stop paying their bills.

There will likely even be sovereign debt defaults, and banks will take a huge hit from those.

There’s more than $250 TRILLION worth of debt worldwide, much of it owned by banks. If even 1% of that debt goes to zero, a number of banks won’t survive.

And if you think that bank failures aren’t possible, please remember that oil prices hit MINUS $40 yesterday. Nobody thought that was possible. And yet it happened.

EVERY scenario is possible.

And this leads me to a very central idea:

I don’t know if the stock market is going to rise or fall. I don’t know what’s going to happen to oil prices.

But I have a strong suspicion that the government and central bank are going to keep working together, printing incomprehensible sums of money to bail everyone out-- especially banks.

This ‘whatever it takes’ monetary policy could come at an extremely steep price.

The last thing politicians care about right now is the value of the currency. And history tells us that inflation is almost always the preferred tool of a government in crisis.

If they have to conjure $10 trillion out of thin air to bail out the economy, they’ll do it… even if it wrecks the currency.

This is an enormous implication worth preparing for today.

To your freedom,



Simon Black,
 

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While we were distracted, the Federal Reserves URL has changed from federalreserve.org to federalreserve.gov..

Did the Fed go insolvenr & was the Fed nationalized??? Hmmm!!!

https://www.federalreserve.gov/
 

JayDubya

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America finally found the lost City of Gold

In the early 1530s, a Spanish conquistador named Diego de Ordaz was exploring modern-day Venezuela when he first heard rumors of a nearby City of Gold.

Ordaz thought he was about to hit the jackpot. And he wasted no time ordering expeditions of the area to find this city-- what eventually became known as El Dorado.

The mission failed, and most of Ordaz’s men died. But one survivor, a crewman named Juan Martinez, claimed that he had been captured and held prisoner for 10 years in El Dorado.

Martinez told sensational tales about the city’s golden structures adorned with precious stones, and even said that the local king bathed in gold dust every morning.

Martinez also said that the people of El Dorado were all so rich with gold that no one really had to work. They had constant festivals and would often feast for seven days straight.

Europeans were instantly hooked. And more expeditions were immediately launched.

The conquistador Gonzalo Pizarro (half brother to Francisco Pizarro) was so fanatical about El Dorado’s existence that he marched thousands of people through the jungles of South America for eighteen months looking for the city.

Pizarro came up empty-handed, and most of his men died.

And yet there were still countless expeditions launched over the next several decades in search of the lost City of Gold.

Everyone desperately wanted to believe in this fairy tale-- that there was a place overflowing with money where everyone could live for free and spend their lives feasting and drinking.

Maybe this desire is hard coded in our DNA, because there still seem to be people who believe in it.

Today’s version of El Dorado is the printing press. Politicians seem to have a fanatical belief that they can conjure paper money out of thin air and pay for everything.

For instance, #RentStrike2020 is a nationwide movement in the Land of the Free to simply cancel rent.

People want months of rent and mortgage payments to be forgiven. Poof, disappeared.

And the Bolsheviks have answered their call.

Congress is now considering the Rent and Mortgage Cancellation Act which would cancel all rent and mortgage payments for the duration of the pandemic, and possibly beyond for up to a year.

And the law would be retroactive, so they’d go back in time to March 13 to cancel rent.

The government would then set up a fund for landlords and mortgage holders “allowing them to recoup their losses, so long as they agree to abide by a set of fair renting and lending practices for a period of five years.”

Some of those conditions include not raising the rent for five years, and not denying renters based on credit history, or criminal record.

This is insane. First the government will tell landlords that the contracts they signed are void. And then, if someone wants to rent your property who has a history of not paying rent, you’re not allowed to reject them.

But as long as you bend the knee to DC, they’ll print the money to pay you.

Another bill proposes to pay $2,000 per month, for the next year, to every American over the age of 16 who makes less than $130,000 per year.

This includes high school students, and people who were previously not working.

Naturally the bill doesn’t mention costs. Why bother with such a trivial detail?

But based on the number of people who qualify, the cost could easily top $4 trillion.

That’s more than the entire federal tax revenue last year! They would literally spend every penny they collected in taxes last year just for that one program.

But no one really cares anymore. There are no rules, and both the government and central bank have decided they’ll do whatever it takes during this pandemic.

What’s really remarkable is that they seem to believe all this deficit spending and money printing will produce favorable results.

If you could simply print money to become a prosperous nation, then Zimbabwe would be the wealthiest country in the world.

But that’s not how it works. Creating more money is not the same as creating value.

Value creation is difficult. It requires talented people to work hard work and produce; it cannot be conjured out of thin air by a bureaucrat.

Right now the economy is shrinking. Millions of people have lost their jobs, which means there’s a whole lot less value being created.

Yet simultaneously they’re printing more money than ever.

You don’t have to have a PhD in economics to understand the mismatch here.

But then again, politicians aren’t exactly known for their grasp of finance.

For example-- Queen Bolshevik, Alexandria Ocasio-Cortez, gleefully celebrated oil’s MINUS $40 price earlier this week, and predicted that the crash would prompt people to switch over to renewable energy sources.

What is this person thinking?? Ultra-cheap oil will compel people to use MORE oil, not less. Duh.

If anything she should hope for a $150 oil price and record high profits for oil companies. Renewable energy would be MUCH cheaper at that point, and people would have a big incentive to switch.

AOC clearly has no understanding of finance or economics… which is ironic because she’s one of the biggest fanatics of the printing press myth.

No one has to work. No one has to pay their rent. They government is just going to print money and send everyone a check every month.

It took nearly 500 years, but America has finally found the lost city of El Dorado. It’s called the Federal Reserve.

And just like El Dorado, its wealth is entirely mythical.

To your freedom,



Simon Black,
 

BarnacleBob

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very interesting BB,

nice catch
Now the beer virus and shutting down the economy begins to make some logical sense.... it also makws sense as to why POTUS contacted all the big CEO's etc....

Not even the Fed can successfully operate at a 78:1 leverage ratio without going belly up!
 

BarnacleBob

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very interesting BB,

nice catch
One other thought, did the bankers take over the.gov or di did the .gov take over the bankers?
 

JayDubya

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David Stockman on the Real Reason Why the Government Shutdown Caused an Economic Collapse

International Man: Is the government’s reaction to COVID-19 worse than the virus itself? What are your thoughts?


David Stockman: I think for once, Donald Trump was right when he worried out loud the other day that the cure may be far worse than the disease.

Governors—mostly Democratic governors and mayors of major areas of the country—have imposed Lockdown Nation. It's a complete economic disaster.

It's a wrong policy from a public health point of view and an economic point of view.


It is hitting, like a ton of bricks, a highly fragile and vulnerable economy that was living hand to mouth anyway because of the kind of highly counterproductive monetary and fiscal policies and debt build-up we've had over the last 30 years.

If you look at the data for New York—which is the epicenter of the whole COVID-19 pandemic—it is abundantly clear that COVID is not some kind of latter-day Black Death plague that takes down the young, the old, the healthy, the sick, and everyone in between.

It is a kind of super winter flu that strikes fatally, almost entirely, the elderly population that is already afflicted with many life-threatening medical conditions—or what the technicians call comorbidities.

The shutdown, which I call the "plenary lockdown policy," is wrong. Closing all the businesses except a tiny, arbitrary set of essential operations is courting disaster for no good reason.

Here's what the New York data showed us recently.

New York is ground zero and the epicenter. But if you look at the breakdown of that number by age and by medical condition, it's startling.

For those under 50 years of age in the state of New York, the death rate is slightly under 5 per 100,000.

That isn't a disaster. That isn't a plague or a calamity.

Five per 100,000 is half the rate of suicides per 100,000 annually among the 50 and under population. It is a small fraction of the 90 deaths per 100,000 annually that occur for all kinds of reasons: accidents and illnesses—including suicide.

You would not, in the slightest, in any kind of sane world, shut down an entire economy and lock down everything when you have a 5 per 100,000 death rate for the overwhelming share of the population.

On the other hand, if you look at the population 80 years and older in New York state—the death rate is 1,086 deaths per 100,000. In other words, it's night and day.

The virus is not a fatal problem for the overwhelming share of the population.

Lots of people get infected. Most are asymptomatic. Some get sick and stay in bed for a couple of days, and they recover. A tiny fraction of the under-50-years population gets seriously ill and is hospitalized for treatment, and an infinitesimal number end up as fatalities. That's the case for the healthy population under 50.

It's in the over-70 age group, and especially in the over-80 age group, that the overwhelming share of these severe cases has developed.

The strategy shouldn't be a plenary lockdown. The right approach is to trace, identify, isolate, support, and treat the vulnerable population that already has many illnesses.

If we look at New York again, of those deaths among the elderly population, 60% had hypertension or high blood pressure, 31% had diabetes, etc. All of them, almost overwhelmingly, had one, two, or three comorbidities.

We don’t need Governor Cuomo to shut down the state. We need Governor Cuomo to tell the health department to mobilize the doctors and the healthcare apparatus of New York to identify the vulnerable elderly population. This population is already being treated in many cases for serious respiratory problems, heart ailments, and other diseases—and we are making sure that they’re as isolated and protected from this bad winter flu as they possibly can be.

It’s not merely a matter of degree. It’s that they’ve got it ass-backward.

You don’t lock down the population. You target the sub-population, the small minority of very vulnerable people, and do everything you can to shield them from this virus until it passes into the summer temperatures and the normal herd immunity that eventually will make it go away.

International Man: Those are excellent points. That’s not to mention that in the US, two out of three Americans are overweight or obese and have a pre-chronic or chronic condition. And of those people, the risk goes up substantially for those who have two or more conditions. It puts them at higher risk for something like COVID-19 to take them down.

David Stockman: I think that’s true, but even if you look at the New York data, again, it’s startling.

For the under-50-year-old population, I can’t emphasize it enough—it’s 5 per 100,000. That’s a rounding error in the scheme of things.

You can’t run a society based on the risk of 5 out of 100,000 people.

So, I think you’re hitting it right on the head.

What we need to think about is how much longer—and we’re not talking about months and quarters, we’re talking about days and weeks—we can possibly stand a shutdown that has already put 22 million people on unemployment claims in four weeks.

Let’s compare this to the worst four weeks of the Great Recession, which is the worst economic calamity that we’ve had since the Great Depression.

During the worst three-week period in the winter of 2008/2009, the cumulative new unemployment claims were 2.7 million, not 22 million. So, this is eight times worse.

We might add that it’s going to be 30 million, or close to that, very soon.

We have an economy that’s in free fall, unlike anything we’ve ever seen before, and we have a government that’s in total hysteria, trying to compensate for the economic collapse that is being ordered by the government itself.

What I’m talking about is the Everything Bailout that was signed without a record vote in the house, with no hearings—$2.2 trillion, on top of two or three other bills that had passed earlier. There’s another trillion that they’re talking about in the pipeline as a sort of a replenishment bill.

Even beyond that, then they’re talking about a stimulus and infrastructure bill, where the bidding starts at $2 billion. It is insanity.

Let’s just look at what’s happening in the here and now.

What the government is trying to do is hold everyone in America harmless, and every business in America harmless, for the massive dislocation, disruption of business cash flow, and interruption of paychecks that have resulted from these lockdown orders.

Where is it taking us?

This year alone—and these are not my numbers; they come from the most credible Washington DC agency, which I’m a part of, The Committee for a Responsible Federal Budget. That’s kind of an oxymoron, but it exists.

They had projected that during the fiscal year underway—which was half over before the whole COVID lockdown even got started—that the deficit is going to total $3.8 trillion.

I’m not talking about total spending. I’m talking about just the deficit. It’s roughly 19% of GDP.

It’s a deficit in the same order of magnitude as we had during the darkest days of World War II. During that time, the whole economy was producing military material and weapons, and nobody could spend any money on anything except necessities because everything else was rationed or wasn’t being produced. So they bought a lot of government war bonds.

So where we are right now, suddenly, overnight, is in a disastrous fiscal situation.

This self-inflicted shock has transformed the Trump-Republican trillion dollar per year deficits at the top of the business cycle.

It has transformed a terrible situation into a catastrophic situation, where they’re going to borrow $3.8 trillion this year alone. The number for fiscal 2021—which starts in October—is going to be another $2.5 trillion at minimum, or probably more.

Now the reason I bring this up is because we’re looking at a two-year period in which the combined deficits are likely to exceed $6 trillion in two years. These numbers are so humongous that they’re almost impossible for ordinary people—or even people who study this subject regularly—to grasp.

I think the best way to look at it is to see that $6 trillion of new debt in two years is equivalent to what it took 213 years and 43 presidents to produce—that’s how long it took to get to the first $6 trillion of public debt.

That’s how bad this has gotten, and it will destroy any remaining semblance of market capitalism we have in this country.

When you have a coast-to-coast soup line, with the government underwriting 100% of what everybody was getting in January 2020 by merely piling it onto the public debt, and then having the Fed printing money to fund it, you’re asking for a calamity—a financial and economic disaster of biblical proportions.
 

Scorpio

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david david david, always fighting the wrong fight,

we all know shutting down the economy over a beer virus was a illusion,
but alas, you have bought into the narrative also,

when point of fact is, you should be looking, and especially with your connections, for the real reason behind this ruse..............clue #1, it doesn't have a damn thing to do with any boo hoo flu
 

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Stop Trump at Any Cost should be the real name for the virus.
Right next to "steal the election any way possible". The end justifies the means.


So I hate to ask this question............

If "they" take out Trump and maybe even Pence......... do you stay locked up at home?
 

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david david david, always fighting the wrong fight,

we all know shutting down the economy over a beer virus was a illusion,
but alas, you have bought into the narrative also,

when point of fact is, you should be looking, and especially with your connections, for the real reason behind this ruse..............clue #1, it doesn't have a damn thing to do with any boo hoo flu
FB_IMG_1588031484947.jpg
 

Scorpio

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Big Jim 1-8 found this one:

M1 money supply screaming to the up (the most liquid m supply)

has been moving up on steroids since 2010, and you can see the recent spike as .gov goes full nutz on helicopter fiat

m1.jpg
 

Scorpio

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What Is M1?

M1 is the money supply that is composed of physical currency and coin, demand deposits, travelers' checks, other checkable deposits, and negotiable order of withdrawal (NOW) accounts. M1 includes the most liquid portions of the money supply because it contains currency and assets that either are or can be quickly converted to, cash. However, "near money" and "near, near money," which fall under M2 and M3, cannot be converted to currency as quickly.



Key Takeaways
  • M1 is a narrow measure of the money supply that includes physical currency, demand deposits, traveler’s checks, and other checkable deposits.
  • M1 does not include financial assets, such as savings accounts and bonds.
  • The M1 is no longer used as a guide for monetary policy in the United States due to the lack of correlation between it and other economic variables.


1:34
M1

Understanding M1
M1 money is a country’s basic money supply that's used as a medium of exchange. M1 includes demand deposits and checking accounts, which are the most commonly used exchange mediums through the use of debit cards and ATMs. Of all the components of the money supply, M1 is defined the most narrowly.

M1 does not include financial assets, such as savings accounts and bonds. M1 money is the money supply metric most frequently utilized by economists to reference how much money is in circulation in a country.

Money Supply and M1 in the United States
Up until March 2006, the Federal Reserve published reports on three money aggregates: M1, M2, and M3. Since 2006, the Fed no longer publishes M3 data. M1 covers types of money commonly used for payment, which includes the most basic payment form, currency, which is also referred to as M0. Because M1 is so narrowly defined, very few components are classified as M1. The broader classification, M2, also includes savings account deposits, small time deposits, and retail money market accounts.

Closely related to M1 and M2 is Money of Zero Maturity (MZM). MZM consists of M1 plus savings deposits and all money market accounts, including institutional money market funds. MZM represents all assets that are redeemable at par on demand and is designed to estimate the supply of readily circulating liquid money in the economy.

How to Calculate M1
The M1 money supply is composed of Federal Reserve notes—otherwise known as bills or paper money—and coins that are in circulation outside of the Federal Reserve Banks and the vaults of depository institutions. Paper money is the most significant component of a nation’s money supply.

M1 also includes traveler’s checks (of non-bank issuers), demand deposits, and other checkable deposits (OCDs), including NOW accounts at depository institutions and credit union share draft accounts.

For most central banks, M1 almost always includes money in circulation and readily cashable instruments. But there are slight variations on the definition across the world. For example, M1 in the eurozone also includes overnight deposits. In Australia, it includes current deposits from the private non-bank sector. The United Kingdom, however, does not have an M1 class of money supply, but only two measures of its money supply: M0 or the broad monetary base (cash outside the Bank of England) and M4 or broad money, also known as the money supply.

M2 and M3 include all of the components of M1 plus additional forms of money, including money market accounts, savings accounts, and institutional funds with significant balances.
Money Supply and the U.S. Economy
For periods of time, measurement of the money supply indicated a close relationship between money supply and some economic variables such as the gross domestic product (GDP), inflation, and price levels. Economists such as Milton Friedman argued in support of the theory that the money supply is intertwined with all of these variables.

However, in the past several decades, the relationship between some measurements of the money supply and other primary economic variables has been uncertain at best. Thus, the significance of the money supply acting as a guide for the conduct of monetary policy in the United States has substantially lessened.


https://www.investopedia.com/terms/m/m1.asp
 

Scorpio

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that M1 chart might give some a clue as to why I have been arguing it isn't a lack of liquidity, but too darn much of it,

way way way too much of it,

they have been pumping this boat full for years,
and of course the misdirection that many are eating up is when they claim they have to pump more due to a 'lack of liquidity'.

Bullshit

was telling stack this a month or so ago,

where I was claiming this social distancing rubbish doesn't fit anyones business model.
you have a restaurant, and everything is built around table turns per evening,

enter the beer flu, and all of a sudden you have to 'social distance'

less tables = less table turns = 1/2 the revenue for each evening

the operator has 2 choices, tits up and gone, or raise prices by double to make up for it

too funny, as I heard cramer talking about this this am, as in some are catching on to what this really means for business going forward.

another example, all of those stupid ass lines in front of stores, where you are allowed in at the pleasure of the corporate big box................yeah, that is going to negatively impact their sales per sq ft numbers big time

only a couple ways to solve that, either let them in, or raise prices to compensate

etc.

we spoke awhile ago of the world changing once again, just as it did after ragheads go boom,
and it will, we await the final tally on the damage at this point

especially now with them proclaiming the boo hoo flu will be with us until 2023
 

Scorpio

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great question was posed, how can it be a excess of liquidity if the system is seizing up?

my answer to that is quite simple, and dates back a ways

when the return on fiat created goes negative, that is when and how

when each unit of input = less and less output, until eventually it turns negative, there is a massive excess of liquidity

each dollar created returns 1.05, then 1.00, then .95, etc.

the more they generate, the worse it gets, devaluing everything it touches

fwiw, I don't think we are at that point yet,
 

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Deflation in Action:

 

ErrosionOfAccord

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Just a blurb

Two Prominent Wyoming Gas Drillers In Financial Peril
Courtesy of WyoFile
POSTED ON APRIL 29, 2020
0



An aerial view showing typical drilling activity in the Pinedale Anticline natural gas field in 2011. (Jonathan Selkowitz/Selko Photo/flickr/SkyTruth))
By Angus M. Thuermer, Jr., WyoFile
A top financial ratings service has listed western Wyoming gas drillers Ultra Resources and Jonah Energy among issuers of “top bonds of concern” whose securities could face “imminent” default.
Fitch Ratings named the two companies that operate in the Pinedale Anticline, Jonah Field and Normally Pressured Lance, or NPL Field in an April 13 report detailing broader energy industry woes. Together the companies provide hundreds of jobs and generate hundreds of million of dollars in tax revenues from Sublette County operations annually. The energy sector is among those that are expected to drive the high-yield bond default rate past 4%, Fitch reported.
Ultra Petroleum Corp., which is a parent guarantor of the Ultra Resources bonds, reported April 14 that its independent accounting firm had “substantial doubt about the Company’s ability to continue as a going concern.”
Ultra Resources, which suspended drilling on the Pinedale Anticline last fall, operates 2,703 wells in Sublette County, according to Drilling Edge. Jonah Energy operates 2,700 wells in and near Sublette County and has received BLM approval to develop the 3,500-well NPL field there.
“The coronavirus pandemic and related economic shock has led to rapid and material deterioration in credit quality among the most-affected high yield issuers,” Eric Rosenthal, senior director of leveraged finance, said in a Fitch non-rating action commentary. “Energy … was especially impacted by the decline in crude oil prices as well as the material increase in supply.”

Jonah Energy bond values since 2017. (Markets Insider)
Jonah issued $600 million in bonds in 2017, according to Market Insider, which tracks such financial data. Bond values have plummeted, however. Market Insider valued a Jonah bond that sold for $1,000 upon issuance two and a half years ago at $28.50 on April 24.
Ultra Resources stock that sold for $1 in 2006 closed at five cents on April 23, Markets Insider reported. In 2017, the Securities and Exchange Commission approved Ultra Resource’s request to sell $700 million in securities, due to be repaid in 2022, and another $500 million due in 2025.
Ultra Petroleum Corp, organized under Yukon Territory laws, along with UP Energy Corporation, a Delaware corporation, are parent guarantors of Ultra Resources, for the securities, according to the SEC filing. Ultra Petroleum stock was valued at more than $190 a share at its peak in 2008, but closed at 3 cents Friday.
Storm clouds
Despite the financial storm clouds, the natural gas industry will continue to play a significant role in the economy of western Wyoming, wrote Ryan McConnaughey, communications director for the Petroleum Association of Wyoming. Gas-industry troubles reflect those seen in the oil patch — a steep drop in demand related to COVID-19, he said in an email
“PAW continues to work with our state and federal partners to enact common-sense measures to better position the industry as it emerges from the current situation,” he wrote.

Ultra Resources stock values since 2006. (Markets Insider)
Representatives from Ultra and Jonah did not return messages seeking comment. In its April 14 report, Ultra Petroleum wrote that it had engaged with some debt-holders about out-of-court financial restructuring, but “such negotiations are no longer occurring.” Other negotiations regarding in-court financial restructuring are ongoing, the report said. Ultra Petroleum may have to file for relief under Chapter 11 of the U.S. Bankruptcy Code or the Canadian Bankruptcy and Insolvency Act, the company report says.
In a letter to Sublette County Commissioners Jonah also said it faces problems. “We are confronted with a historically challenging price environment and necessarily need to stabilize the adversity we are under,” Jonah Energy Vice President Paul Ulrich wrote in an undated letter that commissioners considered April 7.
Fitch Ratings painted an industry-wide picture. “The Top Bonds of Concern rose 23%, up to $44.1 billion from $35.7 billion last month,” the company said. “Energy makes up 60% of the volume.”
Bonds of concern are those where “there is serious doubt about borrower ability to make good on the payments,” University of Wyoming Associate Professor of Finance Ali Nejadmalayeri wrote WyoFile. A “top” bond of concern is the most worrisome.
Whiting Petroleum’s bankruptcy filing April 1 was a harbinger of the disruption, Nejadmalayeri wrote. One of the leading fracking companies in the Bakken shale field, “its bankruptcy was a signal that this time around the shale operator cannot sustain the storm of COVID-19 plus Russian-Saudi oil war,” he wrote. Ultra and Jonah play in the shale-gas market.
Fitch projects the 2020 energy default rate to reach 17% by the end of this year, its report said, “closing in on the record 19.7% mark set in January 2017.”
--Advertisement--
Story Continues Below
Fracking, or hydraulic fracturing to release natural gas from shale and tight sands formations such as those found in Sublette County, “will become less important” in the oil and gas market, the University of Wyoming’s Enhanced Oil Recovery Institute wrote in an April 21 release. “A focus on conventional oil and gas reservoirs is key for survival of the state’s oil and gas industry during the current economic downturn,” the statement said.

A pronghorn antelope on the Pinedale Anticline in 2008 when drilling rigs were a regular backdrop to the scene. (Theo Stein/USFWS/flickr Creative Commons)
“Horizontal wells drilled in unconventional [fracked] reservoirs experience rapid production decline and are only economic at relatively high oil prices,” the EORI statement reads. “As long as oil prices remain low, there will be little, if any, significant drilling of unconventional reservoirs in the foreseeable future. Without new wells to offset the rapid production declines characteristic of these wells, tax revenues from unconventional reservoirs will decrease substantially.”
Operators should focus on enhancing production from existing conventional [non-fracked] oil fields, the statement said. “[C]onventional reservoirs are the key to Wyoming’s oil and gas future,” the statement reads.
Wyoming’s Oil and Gas Conservation Commission should immediately change several well-bonding and -idling rules, the institute’s statement reads. The current bonding policy relies on the erroneous assumption that every idle well will become the state’s responsibility, the statement said.
Jonah tax relief?
As the gas market founders, the Sublette County Attorney’s Office is reviewing a request from Jonah Energy for tax-payment relief, County Clerk Carrie Long wrote WyoFile on Monday. Ulrich’s letter to commissioners asked that they let the company continue with the old tax payment schedule that allows energy companies to pay county ad valorem taxes many months after production.
That traditional schedule allows ad valorem payments — essentially property taxes — to be made from between 11 to 23 months after production, according to a fiscal note the Legislative Service Office attached to House Bill 159—Monthly payment of ad valorem taxes. Lawmakers passed the bill, and sped up the payment schedule, earlier this year.
The bill, Enrolled Act No. 78, requires the ad valorem payments within months of production, phasing in the new schedule over several years. The law is designed to ensure counties are not left holding the bag in the case of bankruptcies or other financial problems, and was prompted in part by coal bankruptcies. The measure, which went into effect last month, allows companies to seek relief from counties, which Jonah Energy did April 7.
The relief “is critical as it demonstrates the understanding of the [L]egislature that in some cases a taxpayer in good standing should not be required to shoulder additional unnecessary financial burden,” Jonah Energy vice President Paul Ulrich wrote. He asked that Jonah be allowed to continue with the existing, delayed payments.
“Jonah Energy is a taxpayer in good standing,” his letter reads. “We contributed approximately $118 Million in tax revenue to Wyoming in 2019. $30 Million in Ad Valorem taxes alone in 2019.
“One of [the] clearest actions to stabilize and demonstrate certainty is allowing Jonah Energy to remain on the historical Ad Valorem payment schedule.” Ulrich’s letter reads.
Jonah’s entire investment is in Wyoming, the letter says. “We are dedicated to Sublette County and Wyoming,” it reads.
Jonah’s headquarters are in Denver. TPG, also known as Texas Pacific Group, and among the largest private equity firms in the world, owns Jonah Energy. It has offices in Texas and around the world.
The Sublette Examiner first reported the letter and commissioners’ reaction. Ulrich said Jonah would provide “addition[al] guarantees, such as a first lien, that are a better protection for the county,” the newspaper reported.
Jonah has more than 200 employees, according to Ulrich’s statements reported by the Examiner.

https://county17.com/2020/04/29/two-prominent-wyoming-gas-drillers-in-financial-peril/
 

JayDubya

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Here's What the Government Should Really Do in the Greater Depression by Doug Casey

It’s hard to have a conversation today, or even overhear one, without being exposed to moronic – and I now use that word in its colloquial as well as its clinical sense – opinions about what "we" should do.


"We," of course, is the government. Everyone believes it should "Do Something." And it is.


But why deal in half-measures?


Why only send everybody a check for $1,200? Why not buy everyone a new Cadillac to get Detroit back to work, a big new house to help builders, and a $10,000 check that must be deposited at a failing bank and then spent at Victoria’s Secret.


A plan like that certainly sounds like more fun than what I’m going to propose. Especially since Americans are going to be a bit short on fun over the next little while. They used it all up over the last generation.


I’ve explained elsewhere why we’re embarked on the Greater Depression. That’s a done deal. But here is what needs to happen if the depression is to be as brief and as therapeutic as possible.


1. Allow collapse of bankrupt entities. They’re uneconomic (as their bankruptcy has proven), their managements are overpaid and are proven incompetents. The bailout money going into them is simply wasted. Most of the real wealth now owned by the bankrupt will still exist. It will simply change ownership.


If you’ve dug yourself into a hole and want to get out, the first thing to do is stop digging.


But that’s not nearly enough. At this point, it would be a half-measure. Perhaps only a 3-foot rope over a 12-foot gap.


If you allow the collapse of unprofitable enterprises without changing the conditions that created the problem, recovery is going to be even harder. So…


2. Deregulate. Contrary to what almost everyone thinks, the main purpose of regulation is not to protect consumers but to entrench the current order. Regulation prevents new institutions from arising quickly and cheaply.


Does the Department of Agriculture really need 100,000 employees to regulate fewer than two million farms in the U.S.?


Has the Department of Energy, created in 1977 to somehow solve a temporary crisis, done anything of value with its 110,000 employees and contractors and $32 billion annual budget?


How about the terminally corrupt Bureau of Indian Affairs, which has outlived whatever usefulness it might have had by 100 years.


The FTC, SEC, FCC, FAA, DOT, HHS, HUD, Labor, Commerce, serve little or no useful public purpose. Eliminate them and the entire economy would blossom – except for the parasitical lobbying and legal trades. There are hundreds of agencies like these. Most aren’t just useless. They’re actively destructive.


3. Abolish the Fed. This is the actual engine of inflation. Money is just a medium of exchange and a store of value; you don’t need a central bank to have money. In fact, central banks are always just engines of inflation. They benefit only the cronies who get their money first.


What would we use as money? It doesn’t matter, as long as it’s a commodity, that can’t be created out of thin air. But gold is the obvious choice.


The whole idea of a central bank is a swindle. Massive bailouts couldn’t and wouldn’t have been done without it.


4. Cut taxes 50%... to start. The economy would boom. The money won’t be needed with all the agencies gone. Certainly not if the next two points are followed.


5. Default on the national debt. I realize this is a shocker, unless you recall that the debt will never be paid anyway. And why should the next several generations have to pay for the stupidity of their parents?


A default sounds dishonorable—and it is, in civil society. But government is different. It hasn’t been "We the People" for a long time; it’s now a self-dealing behemoth, run by cronies. It’s like a building with a rotten foundation—better to bring it down with a controlled demolition, than wait for it fall unpredictably.


Governments default all the time, though most defaults are subtle, through inflation. In an outright default, however, the only people who get hurt are those who lent money to an institution that can only repay them by stealing money from others. They should be punished.


6. Disentangle and disengage. The entanglements the U.S. needs to escape prominently include the UN and NATO. The U.S. combat troops now in over 100 foreign countries can come home. They’re not "defending" anything, except for local collaborators, and are just picking up bad habits and antagonizing the locals.


The U.S. spends more money on the military than most other countries in the world put together. Since the government is bankrupt, spending on the military and its sport wars significantly adds to the economy’s problems.


What the Government Will Actually Do

The chances of any of these things happening, however, are slim to none. And Slim’s out of town.


So let’s look at what will actually happen.


1. Let enterprises collapse? No way. Every corrupt and failed institution, instead of being allowed to turn into compost to be recycled by the economic worms into fertilizer for a new generation of businesses, is going to be propped up like a zombie. They’ll continue doing the same stupid things that got the country into the current mess.


The wave of collapses is going to get much worse. Lots of banks will fail, so the FDIC will need hundreds of billions more in funding.


They’ll try bailing out everything—they already are. Who knows where they’ll stop?


I play poker. Sometimes you see a player undergo a temporary psychotic break. They’ll make totally irrational, wild, stupid bets in a desperate attempt to get out even. It’s called "going on tilt." The U.S. government, as an enterprise, is now on tilt.


2. Deregulate? No, that’s out of the question. Everyone is convinced a lack of regulation allowed the financial collapse that started in 2008. It must, they feel, have been a lack of oversight that allowed "The Virus" to invade the country. And so, with the approval of the public, the government will set up lots of new agencies. The 70,000 degraded beings who crawled out of the woodwork to work for the TSA—for the terror crisis of 2001—will be the model.


I just hope one of the new organizations doesn’t sport a black uniform with silver flashings. Of course, the largest agency of the U.S. government is now Homeland Security, so anything is possible.


3. Abolish the Fed? Despite having been debauched, and turned into a veritable money-printing machine, the Federal Reserve has become far more important than ever. Why? Without it the U.S. government would only be able to borrow funds from citizens, who are tapped out. Or foreigners, who increasingly see it as irresponsible. And who else would buy the securities of failing corporations to support them?


Multi-trillion-dollar deficits are now the norm, and a central bank is needed to fund them.


4. Cut taxes? No. Taxes on the rich, or those the government decides belong in that category—people like you – are going through the roof.


Herbert Hoover — who is somehow painted as a free-marketer — exacerbated the last depression by raising marginal rates from 25% to 63% in 1932. With multi-trillion dollar deficits for the indefinite future, taxes will rise.


Initially, it’s likely to be on politically incorrect things, like tobacco, alcohol, guns, oil, coal, and luxuries… but that’s just be for starters. Taxes on imports will be permanent, justified by saying it will not only generate revenue for the government, but save U.S. jobs, and punish undeserving foriegners. Smoot-Hawley, the Hoover innovation that sealed the fate of the economy in the ‘30s, will ride again.


Along with this, we’ll likely see foreign exchange controls, starting with a tax on spending and investing abroad. The rationale will be the same: it generates revenue, and keeps capital (and jobs) in the U.S. Better yet, FX controls only affect the rich (who else can afford to do things abroad?), and the unpatriotic (who else would even dream of doing anything abroad during a crisis like this?).


6. Default on the national debt? Actually, this will happen. But through inflation. Which, believe it or not, is much more destructive, and less honest, than simply saying "I can’t, and won’t, honor my obligation."


7. Disengage? No way. War is the health of the state. Like almost nothing else, it gets people to pull together. It doesn’t matter if we’re marching to hell; it’s important to be united, they say.


The U.S. has a huge, bloated, military machine which will just rust away, if it’s not used. So of course they’ll use it. It’s like owning a giant hammer: after a while, everything starts to look like a nail.

Good News?

So the prognosis is not good. In fact, it’s not just going to be bad. It’s going to be worse than even I think it’s going to be. People have come to rely on the government as if it were a cornucopia, when it’s more like a cesspool.


If we moved rapidly and radically toward a free-market society, we’d still have a depression – the distortions and misallocations of capital are massive and would still have to be liquidated – but although the correction would be sharp, it would also be short. Like the downturn of 1920-21, not the one of 1929-46.


As serious as the financial and economic problems are going to be over the years to come, adequate attention hasn’t been focused on potential social problems in the U.S.


Don’t forget that during the last depression, there was little consumer debt (people actually bought things using "lay-away" plans, if anybody remembers those). Almost everybody had some savings... as opposed to a lot of debt.


People were much closer to the farm, and most actually knew how to plant a garden.


Families tended to be geographically closer and more mutually supportive – a function that’s been usurped by things like welfare, Medicaid, Medicare, Social Security, and such, which have given people a false sense of security.


Labor was much less productive, but average monthly expenses were much lower, not just in absolute but in relative terms. If you lost your job, you went out to get another, at some wage, any wage. Society was vastly less regulated in those days, so it was much easier.


It’s a good question what millions of people who lose their jobs are going to do now, especially if they’re stuck in a suburb or exurb, surrounded by many thousands of others like themselves. People in Blue counties and Red counties don’t like each other, blame each other, and can’t even have a conversation anymore. Could the natives get restless? Actually, it would be a surprise if they didn’t.
 

Scorpio

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Just a blurb

Two Prominent Wyoming Gas Drillers In Financial Peril
Courtesy of WyoFile
POSTED ON APRIL 29, 2020
0



An aerial view showing typical drilling activity in the Pinedale Anticline natural gas field in 2011. (Jonathan Selkowitz/Selko Photo/flickr/SkyTruth))
By Angus M. Thuermer, Jr., WyoFile
A top financial ratings service has listed western Wyoming gas drillers Ultra Resources and Jonah Energy among issuers of “top bonds of concern” whose securities could face “imminent” default.
Fitch Ratings named the two companies that operate in the Pinedale Anticline, Jonah Field and Normally Pressured Lance, or NPL Field in an April 13 report detailing broader energy industry woes. Together the companies provide hundreds of jobs and generate hundreds of million of dollars in tax revenues from Sublette County operations annually. The energy sector is among those that are expected to drive the high-yield bond default rate past 4%, Fitch reported.
Ultra Petroleum Corp., which is a parent guarantor of the Ultra Resources bonds, reported April 14 that its independent accounting firm had “substantial doubt about the Company’s ability to continue as a going concern.”
Ultra Resources, which suspended drilling on the Pinedale Anticline last fall, operates 2,703 wells in Sublette County, according to Drilling Edge. Jonah Energy operates 2,700 wells in and near Sublette County and has received BLM approval to develop the 3,500-well NPL field there.
“The coronavirus pandemic and related economic shock has led to rapid and material deterioration in credit quality among the most-affected high yield issuers,” Eric Rosenthal, senior director of leveraged finance, said in a Fitch non-rating action commentary. “Energy … was especially impacted by the decline in crude oil prices as well as the material increase in supply.”

Jonah Energy bond values since 2017. (Markets Insider)
Jonah issued $600 million in bonds in 2017, according to Market Insider, which tracks such financial data. Bond values have plummeted, however. Market Insider valued a Jonah bond that sold for $1,000 upon issuance two and a half years ago at $28.50 on April 24.
Ultra Resources stock that sold for $1 in 2006 closed at five cents on April 23, Markets Insider reported. In 2017, the Securities and Exchange Commission approved Ultra Resource’s request to sell $700 million in securities, due to be repaid in 2022, and another $500 million due in 2025.
Ultra Petroleum Corp, organized under Yukon Territory laws, along with UP Energy Corporation, a Delaware corporation, are parent guarantors of Ultra Resources, for the securities, according to the SEC filing. Ultra Petroleum stock was valued at more than $190 a share at its peak in 2008, but closed at 3 cents Friday.
Storm clouds
Despite the financial storm clouds, the natural gas industry will continue to play a significant role in the economy of western Wyoming, wrote Ryan McConnaughey, communications director for the Petroleum Association of Wyoming. Gas-industry troubles reflect those seen in the oil patch — a steep drop in demand related to COVID-19, he said in an email
“PAW continues to work with our state and federal partners to enact common-sense measures to better position the industry as it emerges from the current situation,” he wrote.

Ultra Resources stock values since 2006. (Markets Insider)
Representatives from Ultra and Jonah did not return messages seeking comment. In its April 14 report, Ultra Petroleum wrote that it had engaged with some debt-holders about out-of-court financial restructuring, but “such negotiations are no longer occurring.” Other negotiations regarding in-court financial restructuring are ongoing, the report said. Ultra Petroleum may have to file for relief under Chapter 11 of the U.S. Bankruptcy Code or the Canadian Bankruptcy and Insolvency Act, the company report says.
In a letter to Sublette County Commissioners Jonah also said it faces problems. “We are confronted with a historically challenging price environment and necessarily need to stabilize the adversity we are under,” Jonah Energy Vice President Paul Ulrich wrote in an undated letter that commissioners considered April 7.
Fitch Ratings painted an industry-wide picture. “The Top Bonds of Concern rose 23%, up to $44.1 billion from $35.7 billion last month,” the company said. “Energy makes up 60% of the volume.”
Bonds of concern are those where “there is serious doubt about borrower ability to make good on the payments,” University of Wyoming Associate Professor of Finance Ali Nejadmalayeri wrote WyoFile. A “top” bond of concern is the most worrisome.
Whiting Petroleum’s bankruptcy filing April 1 was a harbinger of the disruption, Nejadmalayeri wrote. One of the leading fracking companies in the Bakken shale field, “its bankruptcy was a signal that this time around the shale operator cannot sustain the storm of COVID-19 plus Russian-Saudi oil war,” he wrote. Ultra and Jonah play in the shale-gas market.
Fitch projects the 2020 energy default rate to reach 17% by the end of this year, its report said, “closing in on the record 19.7% mark set in January 2017.”
--Advertisement--
Story Continues Below
Fracking, or hydraulic fracturing to release natural gas from shale and tight sands formations such as those found in Sublette County, “will become less important” in the oil and gas market, the University of Wyoming’s Enhanced Oil Recovery Institute wrote in an April 21 release. “A focus on conventional oil and gas reservoirs is key for survival of the state’s oil and gas industry during the current economic downturn,” the statement said.

A pronghorn antelope on the Pinedale Anticline in 2008 when drilling rigs were a regular backdrop to the scene. (Theo Stein/USFWS/flickr Creative Commons)
“Horizontal wells drilled in unconventional [fracked] reservoirs experience rapid production decline and are only economic at relatively high oil prices,” the EORI statement reads. “As long as oil prices remain low, there will be little, if any, significant drilling of unconventional reservoirs in the foreseeable future. Without new wells to offset the rapid production declines characteristic of these wells, tax revenues from unconventional reservoirs will decrease substantially.”
Operators should focus on enhancing production from existing conventional [non-fracked] oil fields, the statement said. “[C]onventional reservoirs are the key to Wyoming’s oil and gas future,” the statement reads.
Wyoming’s Oil and Gas Conservation Commission should immediately change several well-bonding and -idling rules, the institute’s statement reads. The current bonding policy relies on the erroneous assumption that every idle well will become the state’s responsibility, the statement said.
Jonah tax relief?
As the gas market founders, the Sublette County Attorney’s Office is reviewing a request from Jonah Energy for tax-payment relief, County Clerk Carrie Long wrote WyoFile on Monday. Ulrich’s letter to commissioners asked that they let the company continue with the old tax payment schedule that allows energy companies to pay county ad valorem taxes many months after production.
That traditional schedule allows ad valorem payments — essentially property taxes — to be made from between 11 to 23 months after production, according to a fiscal note the Legislative Service Office attached to House Bill 159—Monthly payment of ad valorem taxes. Lawmakers passed the bill, and sped up the payment schedule, earlier this year.
The bill, Enrolled Act No. 78, requires the ad valorem payments within months of production, phasing in the new schedule over several years. The law is designed to ensure counties are not left holding the bag in the case of bankruptcies or other financial problems, and was prompted in part by coal bankruptcies. The measure, which went into effect last month, allows companies to seek relief from counties, which Jonah Energy did April 7.
The relief “is critical as it demonstrates the understanding of the [L]egislature that in some cases a taxpayer in good standing should not be required to shoulder additional unnecessary financial burden,” Jonah Energy vice President Paul Ulrich wrote. He asked that Jonah be allowed to continue with the existing, delayed payments.
“Jonah Energy is a taxpayer in good standing,” his letter reads. “We contributed approximately $118 Million in tax revenue to Wyoming in 2019. $30 Million in Ad Valorem taxes alone in 2019.
“One of [the] clearest actions to stabilize and demonstrate certainty is allowing Jonah Energy to remain on the historical Ad Valorem payment schedule.” Ulrich’s letter reads.
Jonah’s entire investment is in Wyoming, the letter says. “We are dedicated to Sublette County and Wyoming,” it reads.
Jonah’s headquarters are in Denver. TPG, also known as Texas Pacific Group, and among the largest private equity firms in the world, owns Jonah Energy. It has offices in Texas and around the world.
The Sublette Examiner first reported the letter and commissioners’ reaction. Ulrich said Jonah would provide “addition[al] guarantees, such as a first lien, that are a better protection for the county,” the newspaper reported.
Jonah has more than 200 employees, according to Ulrich’s statements reported by the Examiner.

https://county17.com/2020/04/29/two-prominent-wyoming-gas-drillers-in-financial-peril/
when you drive thru the eastern side, you can just smell the gas
 

Scorpio

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heard today disney is shopping for a billion dollar loan,

in deep doo doo, and they should be
friggin' traitors anyway,

it won't happen, but it would please me big to see them tits up and gone
100% bought into the social engineering and buying their way thru our monopoly laws

they are one of the great amalgamates, using financial engineering to do so,
with that 'access to capital' I keep chirping about