7/20 In fact, the lower the corrective activity in a given year, the less likely a bear market year will follow. This has been the case since 1988. The last two bear market years -- 2008 and 2001 -- had corrective activity of at least 10% the year before.
www.HilltopSecurities.com; Editor, Mark J. Grant We are the world's largest importer of oil and yet we are also, now, the biggest owner of oil reserves on the planet. There is something very wrong with this picture. We need to throw our domestic oil production into high gear so that we are not just oil self-dependent but so that we become the biggest exporter of oil to the world and replace the often hostile intentions of OPEC, and their producing nations. We can do this, and we should do this!
This is one aspect of the picture. It is not just cost, however, but increasing America's production that should be the key to our strategy. The United States can be the dominant oil exporter if we just put our minds and our taxes and our regulations in the correct place.
Costs of Producing a Barrel of Oil and Natural Gas U.S. Shale U.S. Non-Shale Gross Taxes $6.42 $5.03 Capital Spending $7.56 $7.70 Production Costs $5.85 $5.15 Admin/Trans $3.52 $3.11 Total $23.25 $20.99 *Data from the WSJ on 4/15/16
You see, as exemplified below, the difference is that America is not supporting our government or our social programs from oil and natural gas. This is the striking difference between America's position and the financial position of the OPEC producers and Russia. This is where we can turn up the heat and the heat, in my view, should be turned up and as rapidly as possible.
Breakeven Oil Price by Country Libya $184.00 Iran $131.00 Russia $105.20 Saudi Arabia $104.00 Iraq $101.00 *Data provided by Reuters
We can break the backs of the OPEC nations, many of whom are funding terrorism. We can improve our oil technologies further, and bring Down our costs. We can start supplying Europe with oil and natural gas and cut their dependence on Russia. We can balance our budget and even, possibly, start cutting the budget deficit, if we expand our oil production and start exporting oil and natural gas to the world. We can change the balance of power in our favor
