Prophetic Words From a 70s Rock Band

For those of you old enough to remember The Doobie Brothers, you might recall some of their prophetic words from their fourth album titled “What Were Once Vices are Now Habits.”

The album title reflected the changing lifestyle from the Hippie movement of the 1960s. (Peace, Love, Sex, Rock ‘n Roll, etc.)

Ironically (or NOT)) by 1974 the “vices” of the 60s became habits for the young Hipsters, who, as fate would have it, are many of today’s leaders in politics and business.

Unfortunately, these “leaders” did not learn much from that era.

And do you remember the Arab Oil Embargo that began in 1973?

It crippled many petroleum-based industries and sent us into a deep recession.

The embargo targeted nations that were perceived as supporting Israel during the Yom Kippur War.

And it eventually led to the US cutting a deal with the Saudis (via Henry “Heinz” Kissinger) to sell all their oil in dollars. 

It was the genesis of the “Petro-Dollar.”

It was also the launchpad of the vice of corruption among the oil producing countries and the US.

Why?

If you wanted oil, you had to pay in dollars.

 

Period.

 

Unfortunately, guys like Sadaam and Gaddafi found out the hard way what happens when you try to sell your oil “outside the dollar.”

 

Prophetic Words

 

But now, 52 years later, the habits of corruption have peaked due in part to the growth of electric vehicles.

As a result, the Saudis – once again – are finding new ways of stabbing the USA in the back. *

 

(* Note: They have been doing it for decades.)

 

And now, massive changes in the oil industry continue to shake up the status quo…but they seem to be flying “under the radar.”

I’m referring to the Saudi’s transition from selling oil in dollars to cutting deals with China and Russia to sell oil in Yuan and Rubles.  (They’ve also been negotiating the sale of oil in gold.)

 

No surprise here.

Question:  Will they get the Saddam/Gaddafi treatment?

 

Don’t hold your breath.

But it may be another reason why gold keeps making new all-time highs.

 

And in case you missed it, they have been getting away with selling oil “outside the dollar” since Obama showed them how weak he was when he bowed down to them in public.

Historically, Crude Oil reached an all-time high of 147.27 in July of 2008.

Today it is under $70 per barrel.

So, is oil cheap here…and energy stocks poised to move up?

 

You can’t stop this trend…but you can profit from it.

Read our upcoming April issue of “Simplifying Wall Street…in Plain English” (HERE) to learn more.

Otherwise, you may end up like another Doobie Brothers song “What a Fool Believes…He Seeeeees…No Wise Man Has the Power.”

 

Share this with a friend…especially if they remember the Doobie Brothers.  They’ll thank YOU later.

 

And tell them:

 

We’re Not Just About Finance

But we use finance to give you hope.

Support always welcome via the digital tip jar.

 

*****************************************