Tuesday, June 10, 2008

Paulson Vs Saudi Arabia

Watching CNN today I had the pleasure of hearing another of our wonderful Feds. Mr. Paulson apparently has decided he knows more about oil than the Saudi bunch. The middle east boys have said that the oil price is not being set by supply and demand and that current oil prices are not justified. Do you believe that the middle east wants the world to slow down oil consumption? Not hardly, less oil reliance equals less profits for them.

Mr. Arrogant, er, Paulson chimed in with his wisdom that the price is indeed being set by supply and demand. Hum, exactly how does a suite in Washington have a better understanding about the oil supply and demand than the ones actually have the oil? The correct answer is he doesn't, he is as full of hot air as the rest of our fine Fed leadership. Imagine what one of their meetings is like, arrogance unlimited.

The good news for us forex traders, there is none. If you are trading currency correctly it really doesn't matter who is telling the truth. Trade what the forex market gives you not what you want it to give. It is quite simple, let the charts do the talking, not a bunch of windbags in Washington.

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