In looking at the 2016 State of the Union Speech and legacy optimism speech by Barack Obama, I experienced to imagine what form of Kool-Support is this gentleman drinking? There is instability almost everywhere. The US may possibly pretty nicely have entered a recession in the 4th quarter of 2015, and if not it would seem to be headed there in the to start with quarter of 2016. We see China, which has painted by itself into an financial corner is now suffering from the repercussions of their quite a few mismanagement problems more than the yrs. Oil costs are crashing, some now predict they could go to $ 16-20 for each barrel in advance of they get better – nations will economically implode at continued very low oil rates (as of creating this report these days, crude oil dipped underneath $ 30 for each barrel – 2003 selling prices).
Say goodbye to the BRICS, they are having strike with a ton of them Brazil, Russia, India, China, South Africa – so a great deal for their financial trading block electric power play, and just in time for the Olympic Video games in Rio, ouch. OPEC is not decreasing oil creation, Iran is coming on line to promote its oil, and all those people little nations around the world that owe their nation's wealth to oil are about to economically implode. And to the more substantial oil producers Russia, Saudi Arabia, UAE, Oman, Qatar, Brazil, Venezuela, etc. – can they actually maintain out with these low selling prices? If so, how prolonged – well possibly some will, but most can not. Are we completely ready to witness a further Arab Spring?
China is slowing down – they've stockpiled oil, so they are not heading to invest in a good deal. The US is developing much more oil than at any time, but who is getting? Will we see Oil Businesses submitting individual bankruptcy, total nations defaulting on debts, and obligations promised to their citizens? Have confidence in me, when a governing administration helps make guarantees and reneges, there is hell to pay back with civil unrest. As if there are not enough conflicts happening presently on planet Earth – this is setting up to search like a genuinely sizzling day, with a lot of dry brush, and it would not consider extra than a solitary poor actor (arsonist) to lead to a wildfire, the likes we have not observed in decades.
2016 is going to be a exam for calmer heads, diplomacy, strategic thinking and fantastic leadership. Meanwhile, the US is viewing a large inventory market correction for our January Barometer – the kind of foreshadowing we could do devoid of suitable now. Individuals, optimism and pleasant rulings are not heading to get us through 2016 – it will just take a take a look at of power of character, will, and a fact check out to do that. Be sure to take into account all this.