Oil Prices

Oil prices just keep dropping at an amazing rate. It hasn't necessarily translated into cheaper gas yet but there's talk that oil prices could drop into the $40 or even $30 range before prices rebound. Obviously this sounds good for us but eventually someone (Russia, OPEC, Chavez, Iran) is going to do something to stop this freefall. The Russian economy runs almost exclusively off oil profits. Falling to these low levels threatens the stability of that government...not that it was all that stable to begin with. Putin is on record saying that oil should not be below $70 per barrel and we're now around $54 p/b. Should be interesting to see what happens because a collapse in the oil market could really put the screws to some countries, see Iran.

Speaking of Iran, it appears the United State might finally be willing to stand up and say that Iran is causing a great deal of the instability in Iraq and may take steps to end their meddling in Iraqi affairs. I think many miss the fact that Iran has been the main aggressor in Middle East affairs. Iran provides the support to Syria who supports Hezbollah and Hamas. Iran looks to destabilize Lebanon and Iraq. And Iran looks to destroy Israel. It's not rhetoric...if they had the means, they would have already done so. Unfortunately, because the world sits by and does nothing, they will eventually find the means and will act. Iran is enemy #1 at this point. We might be fighting in Iraq but we are truly warring with the Iranians.