Re:US inflation jumps to 3.8% as energy costs surge from Ira...
by lopsotronic on Wednesday May 13, 2026 @12:33AM
(#48117867)
The resultant economic income elasticity / demand destruction from sudden "shocks" in energy costs will dull those gains for oil comopanies. And that shock has a longer signal.
Witness the commodity runup from the last time we blew up west Asia - the resultant liquidity squeeze would melt down the financialized economic system. A collapse only slapshod avoided by exchanging government risk for private risk on an unprecedented scale. Did the Iraq 2003 adventure actually net more money for oil companies in a 10-20 year horizon? Debateable.
Witness the commodity runup from the last time we blew up west Asia - the resultant liquidity squeeze would melt down the financialized economic system. A collapse only slapshod avoided by exchanging government risk for private risk on an unprecedented scale. Did the Iraq 2003 adventure actually net more money for oil companies in a 10-20 year horizon? Debateable.