Use It Until...

...its purpose no longer satisfies the need. In our endless campaign against the Federal Reserve, we have touched on the many lies the firm uses to deceive and manipulate, including the most recent version. We heard the ex-chairperson, "Yellen" Yellen claim that even though our economy revealed two consecutive quarters of negative growth, we are not in a recession. She puts her claim through job growth and the steady sales from consumers. She even threw out a new version of the word, "transitory" with the nature of inflation. We are in "transition." That is true. The middle-class is bordering to the lower class. The lower class is in poverty. Anyway, she was not alone. The usual shills of the Fed, JP Morgan and Goldman announced a bottom in the selling in the market. Here, at Evolution, our ego was hurt that no one called on us for further predictions as our sad outlook came to fruition. We are not only in recession, but the worst form of economic activity, stagflation. We will make our future call on the economy after the market tests its low. We are in a bear rally.

NBEC

The National Bureau of Economic Research gets the recognized nod to announced whether we are in a recession or not. Their chief indicator is two straight quarters into negative growth to which has occurred.  Keep in mind, the criteria has been massaged countless times to make the Fed look good. Even with the Fed's matrix formula, our economic problems are mounting. This group has the Monday Morning Quarterback situation on their side. They get to make the call when the game is over. We, at evolution made our call over a year ago. Now, we will "call-out" Yellen on her job growth claim.

Demographics...

...is a central cog in any economic growth pattern. You need workers to manufacture product, to ship product and to sell the stuff. COVID-19 reminded the rich about ordinary people. Many are still missing in this so-called recovery. Then, came supply issues and price explosion. Inflation actually helped in one way. Retiring workers became fearful of it and they have continued to punch the clock. However, we all suffer from it. Now, the size of our nation with 330 million people has a natural addition to the economy. When kids turn eighteen, they begin to look for work either part-time or fulltime. So, every June or there about, our nation has 150,000 who might seek work. Yellen proudly says, "Our economy added 372,000." Dear Reader, you have to subtract 150K from any figure to really see the growth number. Now, over 200,000 jobs is really still a good number, but we told you about a report that shows two-thirds of these jobs are taken by someone who already has a job. They need the extra income to make ends meet. Congress never suffers from a balanced budget and that should be the natural law of the land. Anyway, if two-thirds of the 200,000 is a second job, where is the growth? You get the real answer in the job participation report. We are millions away from a strong economy.

Flexible CPI

Ever hear of it? It is an indicator that the Fed uses for inflation, but never discusses. It includes new vehicles, gasoline and jewelry. Guess what it revealed about our present inflation?

"Time has come today..." Sorry, whenever I use the words, time has come, I go into the Chamber Bros. Time is up. 41.5%. Ouch! No! Double ouch!! The kept quiet formula shows a year over year (yoy) with inflation at 18.7%. This is a figure that I can believe.

History Repeats

We get a lot of talk about the expression. Nothing is exactly the same. However, Fibonacci math reveals the similarities. Let us stroll back to the 1970s when inflation threw everyone for a loop.

The Fed chair at the time was Arthur Burns. When asked if the nation was in recession, he said, "No. We have a strong labor market." Powell made the same statement recently.

During the 70s we had three recessions. Each one showed a strong payroll growth prior to each recession. Then, to fight inflation, Burns raised the interest rates or the Fed-Funds rate. Powell is following his game plan.

The first time, it went from 4% to over 8%. Then, Burns claimed inflation licked. The rate dropped to below 4%. Not for long. It rose to over 12% (love to get a bond paying that). Finally, he once again claimed victory only to be defeated by inflation. The rate went from 4% to over 18%. Yes. This is no typo. People, inflation rotates from segment to segment. We are in the second cycle. The first was never recognized, but citizens felt its pain. Food banks know this to be a fact. We will probably get two more inflation runs. So, remember this wisdom on inflation, "Words are cheap, prices are reality."      Peace.

Odds and Ends: July 2022

The only good news is football begins next month. Currently, the market is experiencing a bear market rally. However, we see the shills like JP Morgan and Goldman saying things like the bottom is in and inflation has peaked. Liars and BS artists! In addition, never put any faith in either if they say the precious metals will rally. They will short you and they have deeper pockets. They are the bite dogs of the Fed. They do the dirty work against the precious metals. Isn't it ironic that their brokers always face charges of spoofing against the metals? This market manipulation is cannibalism by the insiders with clout over retail with limited resources. We see the false rally with the leading consultant.

Dr. Copper...

is rising with the tide. We always check with the doctor. We see a Fibonacci test. Some call this price movement a "dead cat bounce." Look at the downside volume. It is way stronger than the upside. To get a better picture, watch the most important commodity, oil. It resisted its low-price test to which was the second leg of the uptrend movement. Oil has very strong resistance at $85. Even in a recession, demand outstrips supply. The inflationary aspects of oil will fluxuate. It will be up one month and down the next. Remember, currency price effects what a nation pays for oil. In the US, oil has slowly dropped in price with the strong dollar. The EU just hiked their rates. Next month, oil wll be cheaper in Europe and rise again in the US. MANIPULATION! The bottom line: oil prices will remain high and this hurts everyone. Inflation is out of the bottle. It will take time to tame, but our poor will suffer greatly, especially with management in the mindset like Chipotle and Amazon.

Other Signs

Little sad things like Russia allowing grain to be exported and then, shooting artillery into the port. In addition, after years of working with the US and other nations, Russia is pulling out of the International Space Station (ISS). Of course, no matter where you live, everything cost more.

There are many negative aspects with inflation. One consequence is a slowing of demand. When this appears as it is now, companies cut back production. This translates to layoffs. It has started.

Ford: has announced that it is laying off 8,000 workers.  Lyft dropped 60. Shopify cut 10%.

In a realated aspect, Chipotle closed a store in Maine because the employees threatened to form a union. Our country has a sick history of anti-labor and wonder why crime rises in times of distress?

This is easy to see and know, but there are subtle ways to see this type of action. Look at part-time labor hours. Watch full-time wage workers. Little by little, hours are cut. There are other ways like who is hiring. We find that Apple, Google and Amazon froze applications. Then, there are seasonal cuts. After Labor Day, airlines drop people. The same thing happens with the hospitality industry. Finally, check the unemployment claims. They rose dramatically last week! As for the unemployment rate, it is deceiving. A study shows that two-thirds of workers already holding one job, took a second to make ends meet. Keep in mind, words are cheap and they won't put food on your plate.

Always Happens...

at the end of a boom cycle. When rates rise, bottom lines change. Many zombie companies are kept a going concern by rolling over their debt to keep in operation. With rising rates, some stoop to fraud. Some were commiting fraud all along. We are hearing and seeing the first stories in China. Chinese citizens awoke last week to the rumbling sounds of tanks appearing before some banks. Stories leaked that these firms had serious liabilities. The banks froze all customers accounts. No one can get access to their money. At the moment, there is no liquidity in the Chinese banking system. I do not think that their banks have a program like FDIC? Authorities stated that they will try to cover deposits in smaller accounts. However, larger ones can only cross their fingers. This begs the question. Does the Chinese AI camera/control credit rating system have a bad report on the banks?

It is not just in China. In the US, Robinhood is in distress. Its meme stocks are under the gun. They were fortunate to receive a bailout, but it is not over. Robinhood wants their customers/clients to lend them your shares. They do not give a reason for or what they will do with them. They offer a income/dividend for them. We think this is a cover for trouble and fraud. Beware!

Related Aspect - Evergrande...

remember the piece we did on the Chinese real estate developer? Well, they made the news on Monday. Executives did a mass quitting just as another loan payment is coming due. Add to this the present contagion in China of homeowners refusing to pay their mortgages. We see a financial debt problem that could become contagious.

Speaking of AI

Facial recognition has been proven unreliable. Just because a computer says something that does not make it true. AI is like a lot of inventions. Companies rush it to the market for profit even though the programs are not fully researched. Microsoft put out an AI called TAY. It lasted less than 24-hours. Why, you ask? It turned into a racists, biased system through human interaction. Like all computers: What goes in, comes out. We, at Evolution are not against AI. When done correctly like in medical, the results are great for all concerned. When integrated with robotics like in car manufacturing, super results. When used for totalitarianism, the results are disasterous. 

Speaking of Totalitarianism

Last month, the media did not cover this chilling, scary blurb from Chins'a Foreign Ministry that declared de facto sovereignty over the Taiwan Strait. This is the waterway separating Taiwan from China. The US says it is an open waterway. The stupid idiot continues his mindless chant by saying, "We will go to war over this point." Our navy purposely passed through it three times. Trouble is brewing. Behind the scenes, it is over chips. They are in everything and the warmongers know it. Do either of these idiots in either military ever think that they could destroy the world over a chip to gain control if a war breaks out?    Somehow, someway, try to find Peace. 

Now, Have you Seen Enough?

Milton Friedman? Ever hear of him? He was a great economist. He won the Nobel Peace Prize for economics. His birthday is 31st of July, although he will not be mentioned by the media and especially, the Fed. Why, you ask?

Great question. First off, his studies were honest, especially courageous. His conclusions go against the Federal Reserve, Big Government and their thinking as expressed by the elite who favor a New World Order (NWO). He championed individual rights and free enterprise. It is no wonder that he was never considered for the Federal Reserve. He would not sellout like Alan Greenspan. Did you know that a young Greenspan wrote a manifesto on GOLD? He showed in his thesis why it is the best currency for a stable economy. It is true, power corrupts.

Today...

we all are suffering from the effects of inflation. This blog is too small to get into all the ramifications of how it comes about and ways to derail against it. We are forced to enlist phrases like, "bottom line" to sum up a position. Friedman understood that like our Founders. In a free democratic society, citizens have responsibilities. For our part (not this blog), we have failed. It is getting harder with fake news. The basic idea of Milton Friedman in regards to inflation can be summed up as: the excess printing of money. He said, "A budget deficit is inflationary if, and only if, it is financed in considerable part by printing money."

Everything Is Financed By Debt

This is one of the major crimes of our government. Republicans will be fast to say, "See, all those unfunded programs by the Democrats is causing inflation." They are liars! The Republicans do and did the same thing when they had the majority. Both of our political parties are corrupt!

The government spends money that it does not have. The Federal Reserve backs them up by buying whatever debt that they produce. The Fed has been creating money from nothing in excess of 10% annually, while our GDP only grows by 2%. This is destruction of the dollar. Do not be fooled by the current rise in the dollar. There are many reasons like higher interest rates, world-war fear to find a safe place for your money or just currency manipulation. You buy and sell currencies. Your profit for traders is riding the trend in King Dollar. We, at Evolution have told you to watch the dollar. It is disrupting global trading. The real value for the dollar is probably .74 cents. Sad, but true. The Federal Reserve is the cause for inflation, but they do not take the blame for their actions. There are consumer examples everyday like the new Ford F-150. It only cost $109,000. Are you kidding me!? This reflects the destruction of our dollar and our standard of living.

Bigger Danger - 2nd Opinion

Ever hear of Edward Griffin? He wrote the book about the secret formation that became the Federal Reserve. He recently came out to express his new fear concerning the Federal Reserve. He says, "They are purposely destroying the US Dollar."

We, at Evolution always have this same fear. It is why our standard of living keeps declining. Our government talks about economic growth, but their formula is both corrupt and manipulated. How can you have growth when for example, you do not account for the sins of that growth? What I mean, you have shale well. It puts dangerous chemicals in the mixture to extract oil. That danger goes to our water supply, but there is no accountability to this aspect. Drug companies drain their harmful residue directly into the toilet to which goes into the water sytem. See, what we mean? Then, their inflation matrix does not include the three things that everyone needs everyday: food, energy and shelter. Manipulation!

Milton had some other insights. We have collected a few to remind you that good people are pushed aside for the sellouts, the shills and same old, same old. Ever wonder why this blog that called every economic happening correct is never recognized? We do, too?

Milton said, "Nothing is so permanent as a temporary government program (example: think TSA)."

Society is stressing in education for class teamwork, however it is always an individual in pursuit of self-interest that achievements are made for civilization. Milton adds, "If you put the federal government in charge of the Sahara Desert, in 5-years there'd be a shortage of sand." In keeping the current teaching trend, Milton says, "If you put equality before freedom, you will get neither." Good old Ben Franklin said something similar. Keep in mind Milton's dangerous fear of inflation, "It is a form of taxation that can be imposed without legislation. It has always been a result of a rapid increase in the quantity of money and every deflation by a decline in the quantity of money"

NWO...

hate him because their equality agenda is a form of communism. Their rule is concentrated power to which Milton says, "Power is not rendered harmless by the good intentions of those who create it." 

The man favored classical-liberal philosophy of minimal government (See how modern conservatives lie about the real use of the word, liberal?), the rule of law, individual rights and responsibilities. He is a GIANT! To which we add our meme, "End the Fed!"     Peace.

Asset Reset

Last week King Dollar broke out of a multi-year trading range. The bottom was $.89 and the previous top was $1.0396 in March 2020. There are two points within this data. First, the currency moved in a large price action. Currencies do not move like this. Second, the breakout was decisive. On Friday, the dollar closed at $106.82. Currencies trend to move like slow, large boats. Think Titanic. In addition, they do correlate to interest rates. Our rates are rising and the dollar is coming along for the ride. 

Effects Everything

First off, the stock market hates a strong dollar. Since everything has been outsourced, the currency exchange eats profits. This is foremost to the market trending down. The second part of the whammy is interest rates. Rising rates cost firms that reply on cheap money a question of survival. These CEOs did not reinvest in their product or company. They squandered profits on buybacks to raise share prices and enrich their retirement options. We are faced with weak leaders in industry and poltics. 

Then, we have the geopolitical problems like the Russian/Ukraine war, China and soon, a global food crisis. These fears are also coming into the equation. This is why the "R" word, recession is in the air. With a recession, layoffs come. Our nation and many in the world are just getting back on their feet from the pandemic. For example, there are over 8-million people in the US who are behind on their rent. Being back to work and the stimulus got them pass the danger. Now, if a recession hit, a chain reaction could hurt everyone and everything in our economy. People would fall behind again on rents or mortgages. A consumer slowdown means less need for product. It also means less building (read less copper, materials, etc.) less gasoline (read lower demand and lower prices for oil). Both big purchases like houses and new cars will shrink. Even small pleasures like cable, eating out will suffer. This is how the chain connects. When you barely make ends meet, you have nothing to give to food pantry's or for nations in deficit to export charity to countries in need. It effects everything!

Precious Metals

Gold and silver have been taking it on the chin. The contagion is now moving to oil, copper and other commodities. I think there has been manipulation against the precious metals. With inflation roaring, they should be approaching $2000 per ounce for gold and $30 per ounce for silver. It could get worse. Time will reveal all the lies, especially with central bankers. There will be excessive heat to hold onto your metal holdings, but what goes up must come down. The dollar should only be worth $.74, but the same could be said about the euro, the pound and the yuan. We are in a financial reset.   Peace

Real Fear is Coming

When you talk about market fear with selling and a downtrend like the first half of this year, one usually begins with the VIX. Last Friday it closed at $26.70. Anything under $30 is not even in the fear category. The market's first indicator says no real fear on price. Then, you can chart the price action. This consistant negative trendline says there is selling in the market. Another strong indicator to which we, at Evolution like is volume. The down days have much stronger selling than the buying on up days. Market bulls should be aware and alarmed. We feel what is even more alarming is the price action on Friday. The bulls got a huge lift as the market reversed selling and ended up 321 points. However, when one looks at the week for a fuller picture, the market was down over 400 points and 1.28%. The volume was average. To us, this is a tell. The market had three keys for the bulls. The first was the calendar. The Fourth of July is always bullish. The second was the timing. The first of the month had new money with "window dressing." The other is the followers to the meme, "Buy the dip!" The volume on Friday was average. It is telling you that the bulls have no conviction. Not to toot our horn, but we predicted a Dow 29,000. Now, the real market concern is it falling to test the 2020 lows. With that said, our real concern is not for the market, but for our citizens. They are seeing fear in food, energy and shelter. They are hearing real fear with crime and the war in Ukraine. They are questioning (and rightfully so) our leaders and their decision making. Doubt is the relative and water that allows the seed of fear to grow.

Consumer Prices, Not Share Prices

Not everyone is involved with market share buying. They do the price action of our economy. When a citizen needs transportation other than public, he is looking at vehicles. Future shock is here. The average new vehicle cost over $47,000. In 1987, you could buy a 3/2 home for that amount. It doesn't get any better for used vehicles. They average around $22,500 this year. This is economic fear at its worse. The buyer cannot afford the price and there is no point in purchasing somebody else's headache. Just fix and put some tape on your old standby. The other fear is that individual's outlook. He cannot keep up economically and that is scary. Bottom line: car sales will fall and this shrinks our economy.

Housing and Rent

We are turning into rental nation as higher home costs, poor wage earnings and now, higher interest rates are locking people out of the "American Dream" of home ownership. Then, they see the price action in renting. It is a nightmare. Nationwide rents are increasing at record pace.We told you in past pieces that the moratorium on mortgages and rents is ending. Landlords are seeking lost revenues. In many cases, they too are behind in their payments. This is a contagious problem.

The medium monthly rent in May hit $1849. This is a rise of 26.6% since 2019 and we're talking before the pandemic. Feel for your Miami residents. Rent increased there by 40%. Ouch! 

How Do They Live?

Consider low-wage earners. They are now spending 31% of their monthly income on gasoline or transportation and groceries. They need another 40 to 50% for rent. They have no wiggle room for utilities, phone and whatever else life throws at them. Then, if the economy slows, they face layoffs!

Meanwhile, market shills still proclaim the market will return 18%. Dear Reader, that is 47% higher than the price of the S & P 500 before the pandemic.    Peace.

Odds and Ends: June 2022

We begin with King $Dollar. It is a mystery. One week it appears to want to break to a new high, and the next week a new low? We are at the mid-point of the year. We are presently in a bear trap. Even with our group of highly educated souls at Evolution, we purchased RIG. We are in a losing postion. We don't want to sell and take a loss because the EU is finally attempting to breakaway from Russian oil. They will need gas for winter, for electricity and for industry. They need their oil firms to dig. Rig will benefit. We just bought too soon. Bottom line: Be patient! Lower prices are coming and if you cannot take the heat, readjust to prepare. Keep in mind, that oil and commodities move in opposite direction to the dollar.

Inflation...

is showing itself in big purchases. The average price of a new car ballooned to over $47,000. You could buy a 3bed/2bath house in the 1980s for that price. We predict car loans will approach a ten year range. By the way, before banking became consumer friendly, that was the term limit for a home mortgage. 

Speaking of home loans, we also predict the 40-year mortgage will come to pass. Why, you ask about our two predictions? Because the Federal Reserve has destroyed our standard of living. These are the type of market manipulations that they do to continue to keep power, to continue the game. They never admit that they are wrong as well as their policy actions. Back to where I begun this paragraph, the medium price for an existing home is $407,600 and rising. 

Inflation...

is also showing itself in aspects that consumers do not realize until they need or use something that inflation is wrecking like hotels. John Feneck is a fund manager for mining firms. He travels a lot. He sees hotel pricing at $300 per room. Then, they add fees, some add parking and of course, the car rental fees are way up. The industry is pricing itself out of the market and yet, the stock market has not caused them any real pain. I agree with John, the pain is coming. Some of these firms who did not borrow when rates were low will end up in bankruptcy.

Future Shock...

will be coming as car insurance and home insurance firms raise their rates to meet the higher cost of homes. There will be other price increases, but I think you get the point. The inflation genie is out of the bottle. It happens as standard of living rises in other countries who seek more value for whatever they export. It is why we always say, "Protect American workers and jobs!" Anyway, it happened with the first oil embargo. The dollar got wrecked. We are approaching this life and world changing moment, again. Maybe all the gyrations in the dollar reflect this behind the scene activities? We can tell you that the International Monetary Fund (IMF) already developed a new currency if the market crashes. The SDR is a basket coin of weighted of world currencies. Have you heard of the book, the "Big Reset"? The author, Willem Middelkoop, says our monetary system is already at war. China no longer buys US Treasuries. They want more power for their coin, the Yuan. They buy gold and they are anti-dollar. They will be the world's largest economy if they are not already. 

The Fed's answer of higher lending rates to combat inflation is just more manipulation by them to calm consumers. Our economy is already in stagflation. This is the worst level for citizens and a nation. It appears when inflation is higher than the growth. The Office for National Statistics says, "Inflation for May rose to 9.1%." Our growth? Maybe 1% ? Whatever it is, it is nowhere near inflation, especially with the three things that we need every day: food, energy and shelter. Some people this week call out to end the Supreme Court because things did not go their way. We have an answer to bring the court back into the fold of true checks and balances, but you will have to wait for our unpublished book to be published. Here and now, we repeat our meme, End the Fed!

One Last Thought

This is wild and crazy stuff as Johnny Carson would say. We generally do not pay attention to the heavens, at least not like in ancient days. We are presently in a planetary rarity. There will be five plants in align. Now, there are people who follow such things. They say this always has a huge market move associated with it. We are in such a phase. Now, this is what I see. We had a comet pass by. We received the virus not long after. We had record wildfires, hurricanes, tornadoes and earth quakes. Now, we got war in Europe. Maybe, we should put aside all these secular people and look at Scripture. There are many readings where the Lord blesses Israel, but they foresaked Him. They worshipped false idols, killed, robbed and rapped on a daily level. Then, he took His favor away. The US has been blessed. However, we kill, rape and rob on a daily level. Maybe His favor is being vexed against us. Sebastian offers this: Hawking was wrong about the Big Bang! He says, if something exploded that began the living organism process, there had to be something formed that exploded? His work. Sebastian goes on to say that there is no such thing as an on-going Black Hole. It is just space weather like a hurricane or tornado on earth. Motion in space forms friction with gravity. Things that are pulled into the Black Hole are the same as roofs and flying cows being pulled by weather. These scientist had better find some faith becuse it is His world. Said enough!   Peace.

Oil and Recession

Every time oil begins to spike, the boom / bust cycle is completed. You should realize by the price action at the pump that the good times will be ending. It is ironic that the last few years have been anything but good. We experienced the pandemic, the continuing collapse of small businesses, another outbreak of senseless, mass shootings, inflation and looming, the prospect of stagflation or even worse, nuclear war.

We, at Evolution have continually sang the meme to End the Fed! They have destroyed the dollar, our standard of living and if the banks become distressed due to their rate hikes, you will see whose corner that they are really behind. Clue: It is not us. Keep in mind, they do not count oil in their phony, manipulated inflation formula. Our outlook on oil says things will get worse. We begin...

How much oil does the...

global community need on a daily basis? It is a nice round figure. It is 100 million barrels per day. Do we need a 100 million new computers on a daily basis? Yet, computers are in the Fed's formula and oil is not as well as housing and food. The US needs 19.6 mbs per day. China is the second largest consumer at 12.7 mbs per day. India is third at 4.4 and Japan is fourth at 4 mbs per day. Quess who is fifth? Russia. The Energy Information Administration (EIA) says world use grows by 1.1 mbs per day on a yearly basis. Now, the US also needs to refine oil to gasoline. We have multiple problems here. There is maintenance. There is seasonal blends and the biggest, not enough capacity to cover demand. High prices will only get higher. We will have to live with the way things are until electric vehicles becomes popular. There will never be another refinery built in the US. We only get more debt by importing refined oil. The US should seek to build even more oil reserve tanks. We should also seek to build food reserve banks too. The stimulus to build the infrastructure to build-out electric charging stations is a good use for a future need. It will also help the climate / environment.

Russian / Ukraine War

has disrupted the global community. The EU should have started to breakaway from Russian oil supply years ago. The elite idiots like the ones at Davos have a conviction if the communist and third world nations saw a rising middle-class that they would never seek conflict. This thinking of the New World Order (NWO) is behind the shrinking of the middle-class in America. They are now sleeping on the street and their work is to go to a food pantry for a handout. Rising oil will multiply that problem. It could lead to civil unrest, but we are getting ahead of ourselves.

When sanctions stopped Russia from selling their 10 mbs per day, the world had a huge peroblem. Where do we get that much production? The true answer is it cannot. As a result, we get oil inflation. Russia sells its 10 mbs to China. The only positive is China does not buy from suppliers like Mexico and Canada. Their oil does fill some of the gap. We already know from COVID that the US as well as the global community will consume less oil to avoid inflation. During the pandemic the US used 9 mbs less per day. Some of the reasons are sad like loss of a job or worse, death.

What is happening now with oil is it is looking for its valued price. There is also a speculation price. That is the dangerous one. We can see this from last Friday's close on the oil contract. It dropped by over 6% or $7.26. Don't be fooled! The trendline for US crude has been up since it sold for $33.64 a barrel in Octomber 2020. It is the same story for BRENT except you can go back further to April 2020. The price has gone straight up and that was before the conflict that rages today.

Oil firms are selling at their highs. The two US giants (Exxon and Chevron) reached all-time highs. We do not recommend a purchase. There will be big price swings due to news. With that said, oil will pierce the $127 price and it should test the all-time high of $147. When it does, the word recession will be dropped due to the worse possible economic outlook: Stagflation will be here. As you know, we rarely recommend a stock because if it does poorly, we cannot sleep at night. Nevertheless, we feel that RIG at less than $4 per share has great value. Oil is not going anywhere because of electric cars and technology. At these high prices, oil firms will dig and under-water has the biggest finds. This is what Transocean (RIG) does. We also recommend with warm weather to use a bike. You save on gas. You get healthy and in shape.   Peace.