Tuesday, August 9, 2011

Oil prices lower=big windfall

So oil is at $80. Not good if you're a biofuels company but REALLY good news for everyone else. This will amount to a big windfall for strapped US households and all kinds of businesses, and will be one of the real stories exiting Q3, if crude stays down below 90. Then major questions will be how much momentum did the economy suffer over the debt ceiling impasse, what is housing doing and will jobs finally stabilize? Here's hoping we thread these needles and go into 2012 with a reasonable sense of optimism that we're not in the equivalent 1973 or even the mid-30's with a long uphill climb back to prosperity. The innovation ecosystem requires the exits gravy train to get back on the rails sooner vs later, despite all the optimistic talk in technology.

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