Trump again proves he does not know how global markets function.
Truth Social
All of those countries that can’t get jet fuel because of the Strait of Hormuz, like the United Kingdom, which refused to get involved in the decapitation of Iran, I have a suggestion for you: Number 1, buy from the U.S., we have plenty, and Number 2, build up some delayed courage, go to the Strait, and just TAKE IT. You’ll have to start learning how to fight for yourself, the U.S.A. won’t be there to help you anymore, just like you weren’t there for us. Iran has been, essentially, decimated. The hard part is done. Go get your own oil! President DJT
That reflects a stunning combination of economic illiteracy, childish playground thinking, and severe narcissism.
Number 1 We Don’t Have Plenty
As of late March 2026, U.S. jet fuel prices have surged roughly 83-88% due to Middle East conflict-driven shortages, reaching over $4.60 per gallon.
Key Price Comparison
- U.S. Jet Fuel: Prices spiked to around $4.62 per gallon (roughly $167–$194 per barrel), a sharp increase of 83-88% since late February.
- Global Jet Fuel: Global prices are generally higher and more volatile. In Singapore, prices rose by over 114%, surpassing $200 per barrel and peaking near $240, while European prices also soared toward $200 per barrel.
- Regional Differences: North America has experienced lower, albeit significant, increases compared to global markets, where shortages in Asia and Oceania have caused more severe price jumps.
- Overall Impact: According to the International Air Transport Association (IATA), the global average for jet fuel has doubled due to supply disruptions in the Persian Gulf.
Lose-Lose Setup
While US prices are high, global prices have seen sharper increases. This is a lose-lose setup.
If the US had plenty of jet fuel US prices would not be up 88 percent. To the extent others feel compelled to “buy from us”, prices will rise further.
It is beyond the economic comprehension of Trump to understand how global markets function. This is not an opinion, it’s a repeatedly proven fact.
Number 2, build up some delayed courage, go to the Strait, and just TAKE IT.
Excuse me for asking but Dear Mr. Trump, why don’t you just go to the strait and take it?
“It’s the equivalent of setting your neighbor’s house on fire and then being pissed they didn’t stay inside, run the faucets, and fight the blaze from inside,” says US Senator Chris Murphy.
Emotional Immaturity
Tweet of the Day: This is a typical narcissistic personality disordered vindictive other blamer: demanding others fix the problem they caused while always blaming others for it. They can never take responsibility for the harm their behavior causes. It’s emotional immaturity at its most severe.
Best 10 Months in History of the US
This is so beyond stupid, what do you even say.
One Year On: The Greatest Economic Own Goal in Living Memory
Why Listen to Trump?
A friend of mind says he no longer listens to anything Trump says. After all, what’s the point of listening to lies after lies after lies?
That’s a valid idea.
Some do it for the entertainment value. I am sure comedians and writers follow Truth Social constantly. Trump provides endless statements that one can use to mock him.
But it’s more than that. Trump is not just grossly incompetent. He’s increasingly unstable emotionally. It is a very dangerous combination for national security.
Unfortunately, the House and Senate are too fearful of Trump to say or do anything about it.
Meanwhile, Gasoline Prices Top $4 First Time Since Aug 2022, Diesel $0.36 from Record
The small price to pay keeps rising.
- Fertilizer: The fighting has stranded big chunks of the world’s supply of ammonia, urea, sulfur and phosphates.
- LNG: It has also choked off roughly 20% of the supply of liquefied natural gas, or LNG, which fertilizer makers in Europe and elsewhere need to generate the tremendous amounts of electricity necessary to convert atmospheric nitrogen into plant food.
- Aluminum: As with urea, Qatar has shut down its aluminum production.
- Helium: Helium is is an essential coolant in MRI machines and semiconductor manufacturing. The U.S. produces the most helium, yet Qatar accounts for about 35% of world capacity. If its output remains offline for another four to eight weeks, supplies will be stretched and could cause problems for chip makers, said François Jackow, chief executive of industrial gas supplier Air Liquide.
- Plastics: Investors expect domestic producers to be able to raise prices in step with import-reliant rivals that face more expensive byproducts of oil-and-gas production and processing. Naphtha, ethane and propane are the building blocks of plastics.
- Cotton: Higher plastics prices have driven traders into cotton futures. The more pricey polyester and other synthetics are, the more clothing and textile makers shift to cotton, prices of which have been depressed. Cotton futures are up just 4.6% this month, but they hit 70 cents a pound Friday, the highest price since December 2024.
Socks surged today on news Trump no longer intends to open the strait.
For discussion, please see An Interesting Mix: Stocks up, Oil Up, Gold Up, Long Bond Flat
Don’t expect the good news to last. It’s primarily a technical bounce.
sorry Mish I seem to have been hoisted by my own petard and not dropped my H’s
Hi mish
Thanks for your the wonderful articles you post- even here in England despite all our shortcomings the wit and inciteful articles are always a pleasure to read
However I was really bemushed by your comments in your latest article
I am unaware of the market on socks – is it recent market that has arisen to determine the future price of cotton or is it just the fact that seven million kilos of T are stranded in Mombasa??!!!
Regards
Erik
The world is in various states of chaos because the US elected a leader who’s a malignant-narcist & suffering from temporal dementia.
The US must become more isolated & less important to correct this mistake.
Here’s psychologist Dr. John Gartner talking about Trump’s mental decline:
https://www.youtube.com/watch?v=9pidmgCOcbo
Losing the Petro Dollar is a great way to make the US less important.
It’s a global market and the net producers are the world’s creditor. What is America’s trade deficit again?
Scraping the bottom of the barrel
Walmart recession indicator at 2008 levels.
https://www.yahoo.com/finance/economy/articles/wall-street-vet-walmart-recession-200825462.html
Trump:
Attacks Venezuela to take their oil. Finds out its mostly hard to process tar.
Invades Iran to take their oil, finds out that they fight back, Runs away.
Blockades Cuba, Threatens to invade, Gives up and lets Russia sell them oil instead of allowing an American company to be the hero, save their economy and start building a link to America.
I’m starting to think that he couldn’t take Greenland after all!
What an idiot!
More importantly, how stupid are Americans for electing this shit show! Twice!
I agree with it all. What are your sugestions to fix the problem? Marching in the streets isn’t working. Assasination is off the table. So let’s all get behind the only idea left*. Impeach and Convict. This will require preasure on both parties in Congress to stand up to Trump or see their carriers end forever.
*Alternate plans are welcome.
I will need to fly round trip cross country a few times this summer for an unfortunate family situation. I just checked flight prices and they are actually cheaper than they have been recently.
If Europe lacks jet fuel for people to fly to the U.S., won’t that reduce the amount of jet fuel that the U.S. will need to fly people to Europe? Since not many people will want to fly one way. Will that mean more of our jet fuel will be available for domestic travel, buffering the cost problem for domestic flights?
I know this will be a disaster but I need to make those trips if I possibly can.
Reminds me of a book that I used to read my two year old. “Don’t let the pigeon drive the bus”!
What would it look like if Putin controlled US foreign policy ?
Then Nuland and McCain wouldn’t have started shelling Donbas, 1m Slavs would still have their lives and limbs, there wouldn’t have been an ISIS, etc. Fewer wars generally.
READ transcripts of Putin’s speeches and marathon interviews. Do you see a difference?
READ the “17 agency assessment” of “Russiagate” hoax. It is as lame as the “Iraq WMD!” claims.
You have no excuse to continue believing Oceania bullshit. Stop letting them gaslight you.
I meant now.
Oh, f*** . I’m sorry.
Mar 3: “We won the war.”
Mar 7: “We defeated Iran.”
Mar 9: “We must attack Iran.” “The war is ending almost completely, and very beautifully.”
Mar 12: “We did win, but we haven’t won completely yet.”
Mar 13: “We won the war.”
Mar 14: “Please help us.”
Mar 15: “If you don’t help us, I will certainly remember it.”
Mar 16: “Actually, we don’t need any help at all.” “I was just testing to see who’s listening to me.” “If NATO doesn’t help, they will suffer something very bad.”
Mar 17: “We neither need nor want NATO’s help.” “I don’t need Congressional approval to withdraw from NATO.”
Mar 18: “Our allies must cooperate in reopening the Strait of Hormuz.”
Mar 19: “US allies need to get a grip -step up and help open the Strait of Hormuz”
Mar 20: “NATO are cowards.”
Mar 21: “We don’t use it, we don’t need to open it.”
Mar 22: “This is the last time. I will give Iran 48 hours.” “Iran is Dead”
Mar 23: “We are giving them more time.”
Mar 24: “The war is nearing its end.”
Mar 25: “We are still negotiating.”
Mar 26: “Iran is begging for peace. They gave us a gift. We will give them more time.”
Mar 27: “Talks with iran are going very well”
Mar 28: “War will be over soon”
Mar 29: “Maybe we take Kharg island, maybe we dont”
Mar 30: “Open the Strait or we will obliterate all energy infrastructure and oil wells”
Mar 31: “We dont need the strait, we got plenty of oil. Get it yourself UK.”
Thanks for paying attention to this matter.
TARCO
This is what Trump does, he makes a claim, doesn’t have to be based in reality, and then tries to beat the world into agreeing with it. The Guardian has a good article talking about how Trump’s technique is running up against several immovable parts of reality, namely the Iranians and the markets. Whether he understands or not, who knows. The narratives he creates have a central theme: what’s good for Trump and his image.
“War is testing operating principle that has guided Trump for decades: construct a narrative, declare it to be true and relentlessly force the world to submit to it”
https://www.theguardian.com/us-news/2026/mar/30/trump-iran-war-reality
His multitasking is too much to be successful
But wait, Baby Bedwetting Narcissist Trump have even another level. At barely over a year, on top of Kennedy Center (theft), Ballroom haste, and last week Currency signatures he just couldn’t held back – Eric has been tasked with the Trump Presidential Library in Miami and they already have a galling, glaring gold and you name it, penile skyscraper ediface planned for him. F’ it if a library is supposed to be a broad floorplan. This POS tribute to a POS will require a new floor every time a book changes editions!
Get the barf bag handy and take a look. (The gag-reflex is a natural effect.)
https://www.youtube.com/watch?v=jKgelHRbJqY
Trump doesn’t clearly doesn’t read. What is the point of a library.
To show you how dumb and unoriginal he is, “Make America Great again” came from a children’s book: Arthur Meets the President.
YT link below. Only need to listen from 00:30 to 01:05.
https://m.youtube.com/watch?v=anyH4CMvwkU&pp=ygUlYXJ0aHVyIG1lZXRzIHRoZSBwcmVzaWRlbnQgcmVhZCBhbG91ZA%3D%3D
The Trump Presidential Library should be filled with childrens books to properly reflect its namesake, and the centerpiece should be a reflection pool so visitors can fall in love with their own image.
…and don’t forget the synagogue on the ground floor.
And he looks like an older version of Dennis The Menace.
Friend from New Zealand states they are in deep fuel crisis mode. Back to WFH and buses are packed -cost of fuel is about to illicit pain. Jacinta has moved to Australia but shut down NZ only refinery while in office. SOL! Look up fuel prices in Philippines and surrounding countries, insane.
Sense your Pain in New Zealand…..Jacinta and other WEF members like Trudeau in Canada and others in Europe did things that most citizens now sense were to undermine their own Nations strengths?
If your nations “strength” can be undermined by WEF or any other group, your nation never had any strengths to begin with.
Yes, all of this is Jacinda’s fault, not the imperialistic rogue nation known as the USA.
She’s their local franchise manager. The managers are no less or more culpable than the corporation they work for.
Surprised meth head horse face has dared to return.
After the constantly repeated stupiidity coming at us from Trump for months already …Is their any possibility that Kamala….. might have been a slightly better choice? Asking for a former Friend
Kamala? The person who became the nominee after gaining zero votes in the primaries?
Hmm…maybe some Americans voted to punish the Democrats for trying to force 4 more years of a demented old man down our throats. Just a thought.
A better question would be to ask how we came to a place where Trump and Harris were the only two choices with any realistic possibility of winning?
“If the rule you followed brought you to this, of what use was the rule?” – A. Chigurh
She was obviously a vastly better choice as she came with a vastly better cabinet, and way better Generals and Admirals.
The AGE OLD Choice, The Devil you know, or the Devil you don’t know.
So this is the headline: “Stocks go up on the news that the Strait of Hormuz will remain closed”.
Can anyone make sense of this??!! <SMFH>
The market has been as bi-polar as Trump. You want to profit, sell calls on rallies, buy puts on dips and collect dividends all along the watchtower.
Hormuz isn’t closed. Iran allows passage for non-hostile countries. USA/Israel war threatens that and more damage. So any sign that USA/Israel might lessen their destruction — the markets appreciate that.
Major indexes will bounce 7% when Trump resigns.
on a completely different subject, let me know if this is not allowed, but does anyone know what our plans are for the naval bases inside the Gulf if we walk away with Iran controlling the Strait?
absolutely Noone is talking about this.
Who needs them? I’m tired of all the Washington mass murder. No more overseas bases.
Taco is a disgrace for the human race and most incompetent president this country has ever known, but to mention his continuing efforts to stuff his pockets full of taxpayer money. What a disaster.
Our executive branch is controlled by Putin. Trump was told to attack Venezuela and Iran to help Russia and compromise Europe. A weakened Europe and Asia is great for Putin. So aee high oil prices and restricted supply.
Rubio will leave the Trump presidency. The truth will come after the midterms.
Controlled by Pooty-poot. Sure.
Trump says the US will leave Iran in 2-3 weeks because “there is no reason for us to do this”.
I agree. There was no good reason for the US to bomb Iran, start a war, cause the closure of the strait, and force a global recession.
But he did it anyway. And now he wants others to clean up his mess.
Trump cannot merely walk away from Iran when Israel wants the country destroyed like Gaza. Iran will be an endless war like Iraq.
Of course he can walk away. He wanted a quick and decisive win. Now that he realizes he cannot get a win, he will declare his “mission accomplished” moment and walk away.
He can leave it for Israel to keep bombing. And he can leave the strait for the rest of the world to fix. Just like he left everyone holding the bag in his business bankruptcies.
*cough* Epstein *cough*
Sorry, musta been a hairball.
Papa, are you in agreement with Eric Nuttall that April will be historic for the oil market? Still a good time to buy?
Eric is one of many oil analysts that I follow. Along with Jeff Currie, Amrita Sen, and others.
Most are very bullish long term because of a decades long underinvestment in exploration.
However, forecasting short term is impossible. Nuttall was bullish natural gas before the Iran war. Now he is bullish oil. He had no idea the war would happen. He could be correct about April, but the future is hard to predict.
My opinion, for what its worth, is the oft-repeated commodity truism; high prices are the cure for high prices.
The current high price of oil is already leading to substitution with coal and anything else that is available.
Any hint of an end to the war can cause oil prices to collapse in the short term. As we have seen several times already.
I have been selling into this oil bull market. But that is because I have such a large position in oil stocks and it is only prudent to take profits every time stocks hit new highs.
However, as an active trader, I have also been buying during each dip. Because the situation on the ground continues to deteriorate. I don’t yet see an end to this conflict.
Net; I have been doing more selling than buying.
At some point there will be an end to the war, and the strait will reopen. This will result in a massive sell-off in oil.
Which I will use to buy back in again. Because I agree that the long term story is bullish.
If you do not have a position yet, I would look to buy the dips and slowly build your position.
One technical analyst I follow is Mike McGlone. His charts tell him that oil will be $50 by year end. I do not agree with him. However, if we end up with a global depression and a collapse in demand, he could still be right.
Thank you so much for your insight, and I will check those folks you named out as well. I do have a large position that has, for the most part, done very well over the last several years, based on your’s and Realist’s recommendations. Thanks again!
I just sold off some BTE that has underperformed compared to the others. I’m more in it for the long term rather than trading but it has been tempting based on Eric’s analysis to start buying again. I guess he thinks the big shock has yet to hit.
The main point that Eric makes that I agree with is that Canadian oil and gas stocks are great values because they are in a stable country, have low production costs, long reserve lives, low debt, and high cash flows. And they were undervalued and unloved because of the Trudeau governments desire to punish them. But with a new government, and new outlook, global investors should be buying these stocks again.
There is another huge flaw in the buy jet fuel from us statement. Over half of the crude production in the US is from shale reservoirs. While shale has high porosity, or high storage volume for oil, the pores are very poorly connected, or low permeability, which means the flow rate declines rapidly. In a conventional sandstone or limestone reservoir, it is not unusual for wells to produce economically 30, 50 or more years, but a shale well producing eight years is more like the average with half the total production in the first year or so. The longevity of jet fuel produced in quantity in the US may not be excessive as the feed stock production rates are not going to be what many believe. This general fact can be applied to all crude oil derivative products. It is why securing stable supplies from Canada and elsewhere is so important for our long-term economic health.
This is the most biased, Trump-hating, TDS web site I know. Why anyone would trust financial news from it is beyond me because it is so biased it cannot be trusted to give straightforward facts.
people treat Trump the same way he treats others.
what is the issue?
Lol! Yes. Better to get your facts from Trump. He’s good with facts.
So: why are you here anyway?
Delicate snowflake.
“Economy is the bone, politics is the flesh,
watch who they beat and who they eat.”
― Marge Piercy
here you go this should keep you busy https://bloggers.feedspot.com/economics_blogs/?
Interesting comment Tom. Mish is Absolutely biased toward the uncomfortable truth.
Trump of course is constantly lying and bullying, he has no problem blowing schoolgirls away while sitting at their desks in school.
As a former Republican, I am ashamed of trump, the present congress and the DOJ.
And his Department Of War (crimes).
I’m getting rich off of information here daily, perhaps you’re too obtuse to know how to do it.
Trump has a 33% approval rating. You need to look in the mirror, bud. You’re missing something that the people around you are noticing. It’s not us, it’s you.
Clearly you have never visited drudgereport.com since Matt Drudge sold the website.
I can’t see having a beer with that AI Asian Guy.
Trump’s decisions have great adverse impact on Global Economy, Trade etc.This Blog is correct to point these out.
“TDS” is simply a thought terminating cliche. Nothing more.
Mish makes numerous specific arguments and provides facts to back them up. Which of these arguments do you disagree with and what is your basis for doing so?
“He’s picking on my poor widdle trumpy wumpy!” is not a fact-based argument.
Obvious troll is obvious
Trumps next genius moves for November: price controls and export controls
Canceling elections.
Mish I think they discount Iran goading Trump into trying to “re-open” or otherwise take Iranian territory.
Trump has Epstein’s leftover jet fuel.
Trump is a dark triad with dementia. A narcissistic manipulative psychopath, utterly incapable of telling the truth. We need his cabinet to invoke the 25th Amendment now.
meanwhile: China Is Rapidly Overtaking the United States as the World’s Scientific SuperpowerThe Trump administration has been a disaster for science.
https://futurism.com/science-energy/china-overtaking-us-world-scientific-superpower
Obviously time to invoke the 25th.
It is impossible to make any sense of gibberish issuing from the organ of speech.
It is an embarrassment and humiliation to be subject to any of this.
For all of those that take Trump literally here is the interpretation. We are energy independent in the United State unlike last time. If you want some fuel work with us and not against us with Iran; put in a little effort here. Why is the United States bearing the burden of free trade while you get the benefits. Time to pony up, Europe, China, Japan and the list goes on. Did anyone notice that the Cushing Inventory of crude shot up? Give the marginal producer an inventive and we will have oil coming out of our ears.
Cushing, Oklahoma crude oil inventories stand at approximately 30.94 million barrels as of the week ending March 20, 2026, marking a significant increase of 3.42 million barrels from the previous week. This marks the fifth consecutive weekly build, bringing storage levels 31.9% higher than a year ago, reflecting a counter-seasonal rise.
Did you ever question anything, the build up in fuels or crude is the actual situation created by the worlds kings mess , no jobs and no money’s no consumption’,see if you get that…
Prices are up, demand is down. Not a surprise.
That’s kind of a quake zone, just saying.
Trumpstrodamus has spoken!
Cushing storage is about two or three days of US consumption and is more for absorbing very short-term flow variations to down-stream refineries. The real storage volume for major disruptions is the strategic petroleum reserve.
As for the US being energy independent with respect to petroleum, that is patently false. US crude consumption is at or just under 20 million barrels per day. Domestic crude production is just short of 14 million barrels per day. Canada makes up the bulk of the shortage.
Another reason we are not crude independent is US refineries for the most part are designed to accommodate heavy or low API gravity crude whereas over half our crude production is light shale or higher API gravity oil.
Trump does not understand the oil business; his related statements are basically nonsense.
Lol! Cushing up 3.42 mb.
Meanwhile the US SPR is down 45.2 mb after the initial release. With 126.8 mb still to go.
It’s just that his 5D chess is so complicated for us mere mortals.
Even if some one from Europe manages to buy US jet fuel how does he manage to get it to Europe? There is a limited number of fuel tankers, some of them stuck in Persian Gulf and many of these tankers sail on regular routes chartered by regular customers. Squeezing in a new route for a new customer is not easy. Add to this fuel tanker charter costs (rising) and availability of free space kerosen tanks in US ports (I have no idea).
G7 and EU sanction on Russia prolonged routes on which Russian crude and Indian/Chinese refined products are shipped (big volumes of refined products used to go to Europe before the war) which led to lower availability of fuel tankers.
EU can only blame itself for its naive policies.
… and what do we put in our jets?
The economic price to pay is still relatively low if it achieves the goal of crippling, if not vanquishing, one of the planet’s biggest supporters of and fomenters of terrorism.
Stop the whining!
So the United States, the planet’s leading supporter and formenter of terrorism is being vanquished?
Turd.
Ignore this guy. He thinks we’ll have fusion energy in 10 years. Clueless
Gulp, gulp, gulp. What flavor today, grape or orange?
This is mind boggling to me. What exactly can he do? What are they afraid of at this point? He’s a demented old man that no one around the world listens to except his cult.
Trump is a total joke and repubs are on track to lose the midterms and likely the White House at next election.
This Iran thing will pass but Trump will find a way to muck up the next thing.
Do worry, Trump will find a way to make things even worse.™
He could have ICE come in and put them in an internment facility that used to be a Circuit City, and we’d sit on our asses and watch.
There are a lot of crazy people who want a violent civil war much like Kegsbreath likes to cosplay.
He is nonstop mumbling – I win, I won, I win, I won – – – –
Can somebody tell me what is he winning except from his mouth?
Trump truly is an economic illiterate. I present this Trumpian bloviation as evidence:
“The Cattle Ranchers, who I love, don’t understand that the only reason they are doing so well, for the first time in decades, is because I put Tariffs on cattle coming into the United States, including a 50% Tariff on Brazil. If it weren’t for me, they would be doing just as they’ve done for the past 20 years—Terrible! It would be nice if they would understand that, but they also have to get their prices down, because the consumer is a very big factor in my thinking, also!”
My family has some ranch land and runs a small cattle business. When we sell cattle, we load them into a trailer and take them to auction where they sell for whatever the market will bear. Mr. Trump seems to think we run a cattle boutique. “This is what we demand for our heifers, ladies and gentlemen. Take it our leave it.”
Also incidentally, he here admits his tariffs increase costs, even while denying that reality in previous bloviations.
Economically illiterate?
No. He is simply illiterate. Period.
Remember the centuries of war between Aberbaijan [sic] and Albania that he ended?
We have been told by everyone around him that he doesn’t read.
They present pictures and video clips to him, and manipulate him easily, since he has no framework to judge anything.
He thinks at the level of bar room chatter, but with the maturity of a toddler.
Nothing he says makes any sense, and is usually revoked shortly, often in the same segment.
The only mode of thought he has is counting dollars.
We already know his business career excelled only in elaborate schemes where he went bankrupt but managed to exit with part of the cash and sticking it to everyone else.
20-30 million illegals eat a lot of Beef.
Had they all be deported, we’d have lower beef prices…
Why Cattle ranchers not open up their own meat shop & to only legal US citizens & undercut the middle guy is beyond me. They could triple their profits.
Because there aren’t any ranchers with cows where the people are. Cows need their own space and Manhattan isn’t suitable. I didn’t know people could be this ignorant of how the world works.
Economic illiteracy abounds. George W (double U) started raiding cheap and efficient meat processing plants and deporting their workers. This drove several of them into bankruptcy, including a big one called Swift. Swift was sold to a Brazilian company and is now called JBS, one of the big four and currently under investigation by the Trump administration for some imaginary, paranoid conspiracy theory nonsense. JBS solved the labor problem by hiring war refugees from SE Asia and Somalia, If every rancher started a meat store they would all go bankrupt. It’s a stupid idea. The big four are highly efficient (cheap) at processing cattle. Fast and cheap and reliable. For them to stay open, they have to buy cattle almost every day or they will go broke. Pens have to be full. The kill floor has to be full. Blades have to be flying all the time. US cattle inventory is down 49 million head since I was in college in ranch world. Lots of reasons. Biggest one is global warming. To make certain they have beef entering the building on the hoof, they offer big bucks for cattle. It’s not collusion; it’s survival. The national herd size is so small they are going to have to start closing plants. Tyson already let go of a big one in Nebraska. Then the Sand Hills of Nebraska burned to the ground. Nebraska has the most cattle per acre of any state in the nation.
“Why Cattle ranchers not open up their own meat shop ”
Many of them do, but it is a.niche and small market.
If the demand for beef moved overseas the cattle ranchers may just ship the beef there instead of accepting a cheaper price here.
Mexico has no tariffs on US beef and a good chunk of my clients Arkansas and Texas beef cattle already goes there as Mexico tariffs SA beef but not American.
Simple answers to complex problems may not be as effective as you think they are.
you point would be more relevant for an asset like housing, but im not so sure about beef prices.
So why haven’t they been deported?
75 billion and 2 Americans murdered in the street, and we still have illegals?
You got screwed, and dragged us along.
From what I read the illegals were just eating pets and not beef.
Pets are the other beef.
I got gasoline yesterday for $2.94 and got an email from our local low cost airline (Sun Country) touting various $69-89 one way fares. It kind of feels like Wiley Coyote hanging in mid air after running off a cliff.
We are paying $5-$7/gal here in CA. Stop whining!
If Trump says something good about himself, it’s a lie.
If people who aren’t depending on Trump’s approval say something about Trump, I listen to their truth.
Trump always ranks himself the best at everything: being president, golfing, and everything else.
Trump always says “everyone is saying this to me” but the next time he names those people it will be the FIRST person he has named, i.e. you know it’s all BS.
Only intellectual children and willful idiots can’t see through this transparent film.
He always seems to have a room full of people he talks to – for instance the Iranian negotiators…
To paraphrase someone else overstepping their credibility, “It may be our war, but it’s your problem.”
If Europe doesn’t help the US now, it will probably be asking the US for help in the future. When all is said and done after this, where is Europe’s easy energy going to be coming from?
Oh wait. They have wind and solar. Foolish me. They obviously have their energy problems sorted out.
Following the news and politicians of other countries there’s no one thinking they can depend on anything from the USA. Following Ellison news services gets you something else.
Very true, but while the EU is refusing to play the game, Trump is collecting all the cards.
“Pride before the fall” and all that fun stuff.
Trump always talks about various U.S. exports, military equipment, oil/LNG, and now jet fuel as if he were the President of a nation like Saudi Arabia, where the Royal family essentially owns the nation’s most important industries. As General Millie has said, Trump is a fascist at heart.
I think just about everyone is a fascist at heart nowadays. Libertarians (or some of them anyway) are the only people who know enough history, enough economics, and enough ethics to not be fascists. Long live the memories of Ayn Rand and Ludwig von Mises.
Oh, I disagree! I am no “libertarian,” and I am very far from being a fascist. Trump is an authoritarian wannabe and most certainly exhibits many fascist tendencies.
“If the US had plenty of jet fuel US prices would not be up 88 percent.”
Wrong, fuel prices are set globally. If the locals do not want to pay the global price, the fuel will be exported to buyers who will. Talk about someone who does not know how global markets function.
Some of it is not allowed to be exported for national security reasons. The President also in times of emergency can stop all exports.
THEN OBIVIOUSLY THEY CANNOT BUY American Jet Fuel. This foolish idea bites the dust,
Steve, keep using absolutist statements so we can keep adjusting down your estimated IQ. You know the Siths were made to be absolutists to make them look especially stupid, don’t you?
there are jet fuel arbitrage opportunities right now, as we speak.
so you have it half right.
the fuel will be exported to those who will pay a higher price, AND THEN, when that demand is filled and there is still supply left, you sell it at a lower price.
our price increase is a reflection that we don’t have any remaining supply to sell at the lower price.
US currently exports 200K barrels of jet fuel per day. US uses 1.6M per day.
The global demand is over 6M barrels per day.
Clearly, Trump was ridiculous in his statement, the US has no way to replace the Mideast capacity.
Mish was imprecise in using price action to prove his point, but your little “Gotcha!”just points out your own irritation at having Trump called out.
Check for TWS, you just might be affected.
Go back to Covid shutdown days and stop flying unless absolutely necessary. Problem solved!
Covid? Another Trump failure that led to 1.6 million dead Americans and a stalled economy!
Wanker. If there was plenty, prices would be going down.
The US doesn’t have nearly the surplus to compensate for supply shortfalls globally.
Lol! Sorry Steve.
Nothing is absolute. While commodities are priced globally, there are always regional differences. Plus it depends on which contract month you are referring to.
Those differences allow for an active arbitrage market. But arbitrage does not make all prices the same. Take the price of oil today.
WCS: $90
WTI: $102
Brent: $118
Murban: $121
It isn’t the same price everywhere because markets are never perfectly efficient.
what i tried to say but you did much more clearly.
Different benchmarks are also for different grades of oil, and priced according to demand for each (+ geography of delivery).
Oil is not perfectly fungible. Heavy sour oil has more energy density and yields more distillates (diesel; jet fuel) but is harder to process. Refineries are constructed and configured to process certain inputs.
All true.