The long-awaited explosion of the tanker at long last came. WTI rose $5 only. Such news is worth only $5. This time made oil prices ranging above the high of last year which is $77.62. When comparing the length of black or white candlestick, it is not so serious. The future is clearer now, no panics on the attack of tankers. Gold price showed a small black candlestick at $5082. The USD Index showed a small white candlestick at $99.03.
Stock markets mixed around opening time, NASDAQ rose 13.31 points at 25103.28; S&P dropped 21.21 points at 6848.29. Basically, the market is stable and there is no panic selling even picture of explosion of tanker can be seen easily.
It is expected that Iran will use drones for sudden attack but only to arouse disturbance. A 400,000-ton tanker is 4 times heavier than the largest aircraft carrier USS Ford, and in the Strait, there are still some tankers over 500,000 tons running. They are all equipped with waterproof individual compartments, so even when attacked under the waterline, they would not sink, but may cause fire like the picture in the cover page.
The Senate failed to vote to rein the war power of Trump. He has the right to send ground force when in need. His strategy is to use a greater wave of power to bomb Iran until they compromise. It is said Iran is ready to talk with the US, but no time or place is fixed yet. But one thing is sure, the rise in oil price hurt the Asian economy most. China used to buy cheap oil from Iran and Venezuela because they are under sanctions. No one dares to buy oil from Iran or else will have secondary sanctions from the US. Therefore, China can press down the price and enjoy cheap oil. As a matter of fact, the attack on Iran and Venezuela hurt the economy of China so much. Some said that it is just a bonus, but some even said it is the final target of US.
Some are afraid China may cancel the Trump/Xi meeting from March 31 to April 2, for both Iran and Venezuela are important subsidiaries of China. Trump is not giving face to China. It happened just ahead of the Trump/Xi meeting. The military action as said will be finished in 4 to 5 weeks, which is the time of the Trump/Xi meeting. It has been talked about last year for several times but postponed due to tariff war.
Now the US made clear that the war was started by Israel and not the US. That is the first wave of attack which is the decapitation of Khamenei was done by Israel. It is quite strange that both the New York Times and Financial Times had a decryption of files. They disclosed a secret of how Israel can get the news and track and trace the action of Khamenei. Israel told them they have hacked the video cam of Iran on the street completely so they know every action of Khamenei and the keymen of decision making. Therefore, all important conferences, date and time are within the control of their hands.
Is Israel so foolish? It is not deciphering a magic show. If they disclose such a secret, the enemy will be on alert so such a trick cannot be used again. Or they are having a higher trick or secret and want to use this to divert the attention of others. The largest production and end user of street cam is China. They have 2.78 billion videos running in streets even though their population is just 1.41 billion. Do they just want to have a shock to the production of China? Is it so simple? Or it is paving a way for the Trump/Xi negotiation. Very hard to say.
But one thing is sure, after Maduro and Khamenei, who will be the next target? This causes the most attention. Kim of North Korea said he is willing to talk with Trump, so how about other countries…… like Cuba or …… no one dares to say, no one dares to think more, may be too far a problem.
Anyway, when you believe in the attack wave of Trump which is all arranged by AI for the next few weeks, just try to buy at low. Or you can buy crypto related ETF for sometimes they are in reverse proportion with 3 major indexes. Or can buy military stocks which are also of the space industry. But don’t put all your eggs in one basket, when you want to buy, split the capital into 3 or 4 portions and buy gradually week by week, one stake per week will be better.
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.
About the Author
Daniel Yue has been an active investor since 1980, with experience spanning stocks, currencies, futures, metals, and bonds. A scholar of the Chicago School of Economics, he holds a Certificate with Distinction from Cambridge University and a degree in International Trading from National Taiwan University. He served as Chief Analyst for over 30 years and Chief Mentor at Sincere Finance. In 2017, he received an award from the University of Arizona for financial internship leadership.
The analysis and opinions expressed in this article are for educational purposes only and do not constitute financial advice. Investing involves risk. Please consult a qualified financial advisor before making investment decisions.