I recall reading somewhere that 18% of the US oil comes through a terminal in the Mississippi delta down river from New Orleans. If shipping can't get through because of the oil slick, would oil and gasoline prices not go through the roof?

Disastrous earthquakes around the world, aircraft-stumping volcanoes, man-made environmental disasters… makes you wonder how long we can keep taking these torpedoes in these economic conditions…

The short side in equities suddenly looks attractive (but not attractive enough to forego really tight stops). The long side in grains and sugar perhaps also. The times they are a changin'.

Jeff Watson adds:

They're expecting that if this thing doesn't get capped, that the clockwise currents in the Gulf will ultimately be putting an oil slick on my front yard. Still, the gulf is a pretty big place and 200,000 gallons a day is not a lot of oil, especially since only a percentage of it actually makes the slick. I'm not worried about any environmental damage, and will accept whatever happens. The bright side is that the tourists stop coming.

Jeff Watson, surfer, speculator, poker player and art connoisseur, blogs as MOTU.





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