As the world listens to story time from the propagandists in the media, be it financial or mainstream, the reality is about to hit the United States like an intoxicated Hunter Biden driving a tanker truck full of gasoline.
There is a bull market which has intact trend lines to the upside, an actual shortage of reserves due to political mismanagement, and a real threat of foreign markets causing further disruptions which makes it even more bullish for this sector.
That would be of course, natural gas:
There are those in the administration and political economic financial media who refuse to address this problem. In fact these same souls refuse to even discuss the economic ramifications of this bull market. IF, and that’s a big IF, indeed the prices top the $9 or $10 mark this autumn the inflationary implications of such a move are mind boggling as more power companies did in fact switch to natural gas as an option to satisfy the “green” requirements mandated under Obama.
The problem of course is supply:
The sad news is that there is a downtrend in storage and the US is running behind the five year average for underground storage versus that historical time period. This is potentially bullish for that market but damning for the macroeconomic picture as energy prices will cause another much larger spike in inflationary trends this autumn and winter.
Buckle up boys and girls, this is the bull that could gore any potential recovery.