Monday, June 20, 2011

Forget the Feds like They've Forgotten You

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Forget the Feds like They've Forgotten You
By Christian A. DeHaemer | Monday, June 20th, 2011
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I think I've finally found something more annoying about air travel than screaming infants, credit-only beverage purchasing, extra fees for checked baggage and travelers who insist on cramming their 300 lb bodies into seats designed for teenage anorexics: Obama groupies.

As I write this to you from a mercifully deserted bar at Seoul's Incheon International airport, echoes of the pair sitting behind me for the 13 hour hop from LA continue to ring in my head.

If only he was in power in 2000... If only the tea-baggers let him do his job... if only Americans weren't such racists.”

If only, if only, if only... It's like listening to a couple of seven-year-old girls day-dreaming about their wedding day and the color of the horse their prince charming will whisk them away on.

Obama Fans

The fact is, our current president is no better than the one who came before him... By most accounts, he's significantly worse.

Not only has he managed to squander what was probably the best chance any politician has had in the last 50 years to unify a segmented nation, but his lack of respect from the international community has actually managed to boost America's laughability factor past where it was in 2008.

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Of course, given the situation we're in right now – and by 'we', I mean the whole world, not just the U.S. – his job was less than straightforward.

Barack Obama didn't come into the White House on the tail end of a massive economic expansion.

Unlike Clinton, whose administration rode the coattails of the biggest industrial advancement since the advent of the internal combustion engine – the rise of the Internet – Obama inherited a bogged-down nation with a drooping economy and a depressed population.

And that's about all the positive I have to say about him.

Besides being unlucky, Obama has proven to be just another in a long line of useless bureaucrats with big words, bigger ideas, zero backbone and even less follow-through. In three short years, he's gone from messiah to disappointment to clown to national embarrassment.

About seven weeks ago, I was having dinner when the Commander-in-Chief came on TV and took what almost passed for personal credit for Bin Laden's killing. What would this Harvard-educated Constitutional Law specialist even look like shouting real-time orders to real men doing real work?

My attempt to stifle my laughter ended in a piece of pasta coming out of one of my nostrils.

This should not come as a shock to any of us old enough to have seen more than a handful of administrations come and go.

Obama is neither new, nor novel, nor original in anything he's doing.

He represents the same government and the same hypocrisy the guy before him represented. Unfortunately for us, as long as I've been alive and conscious of the world around me, government has never been a for-the-people, by-the-people affair.

More like from-the-people, despite-the-people.

You pay their salaries; you pay for their homes and vacations and healthcare and children's educations. And in return, they give you excuses, higher debt, higher taxes, and, on a very good day, frosting in the form of a sexting scandal.

They don't care what you think or feel or believe; and they don't care what they have to say to get into office either.

Just as long as another term is guaranteed and the paycheck is signed.

It's not a Democratic or Republican issue.

It's a federal government issue... And it's an issue that any and everyone who continues to sing the praises of the president, whoever he may be, seems not to understand.

The government, in short, has failed you. No longer the keel and the rudder of this nation, our government is now just an anchor, stuck hopelessly in the rocks of economic stagnation and national disillusionment...

It's not a new story. Government has always done this to its people. It just feels relatively new to us – a nation of individuals who have always prided on being masters of their own destiny.

But this is still all just the beginning.

As much damage as the Obama haters think he's doing now, or as much damage as the Obama fluffer parade claims Bush did during his time, we're still only now trying to scratch the surface.Mongolian Stock Index

If you want to see bad, take a good look at the chart on the right:

What you're looking at is the Mongolian Stock Index for the past year.

After an amazing 9 months, where the Mongolian Stock Exchange saw a shocking 330% expansion, a pullback of 43% in the last two months has undone most of the good that came since last summer.

And the pullback shows no sign of slowing.

The reason behind it is fairly simple.

Among other things, a recent 44% tax on exports by the Russians – including oil, which Mongolia relies on for 90% of its domestic supply – has ravaged the national economy with added costs on everything requiring crude for production and transportation.

It's what happens when one nation finds itself at the mercy of another more powerful, better supplied nation.

With no bargaining power, the Mongolians were left helpless, and watched their short-lived prosperity go right down the tubes.

It's actually part of the reason I find myself sipping rum and cokes right now as I await my connection to Ulan Bator. The place is in such a state of disarray right now they're actually flying in guys like me to tell them what to do, or at the very least, what to expect to happen next.

So where does this leave you, me, and the Obama pep squad on the Korean Air 747 I just deboarded?

Well, consider it a warning... A proverbial canary in the mine.

Because while the U.S. cannot really compare to the helplessness of a landlocked $12 billion GDP nation of less than three million inhabitants, our level of reliance on nations such as China and India for cheap goods, and Canada, Venezuela and the Arab Middle East for oil is putting us more and more at risk for the exact same transformation Mongolia currently faces.

With a hundred times the population, and more than one thousand times their economic mass, when we fall, it will not be some half-page story on the fourth page of the New York Times.

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So, what do you do?

Well, first off, stop waiting for the Federal government to take care of it for you. The guys in Washington, at this point, are nothing more than another drain on our finances and a threat to our personal liberties.

Secondly, you need to take your financial future into your hands, today. Make simple, sound investments in commodities you absolutely know humanity will consume until the supply runs out.

The list isn't very long... Oil, iron-ore, grain, water, and a handful of other simple substances that create and sustain out world.

Next, choose the one substance, out of that handful, which is running out the fastest.

That's an easy one: Oil.

Finally, choose the one place in the world where there is more untouched oil than anywhere else.

Last year, ironically, one of the candidates for that slot would have been Mongolia itself. In fact, my biggest recommendation of the year came from Mongolia, and made my readers over 600% as it did this:

Mongolian Oil Company

Today, though, the story in Mongolia is completely different.

With the Russians up to their old tricks, the Mongolian economy and their infant oil industry are wildcards at best and money-pits at worst.

This August, an entirely new region will be opened by a group consisting of some of the world's most aggressive and successful oil exploration companies.

Right now, only 500 active oil wells exist on this chunk of land totaling more than 2 million square miles, but this is about to change.

Leading the way are Tullow Oil (LSE: TLW) and Afren Oil (LSE: AFR), with tens of thousands of square miles already claimed in this region and ready to commence drilling towards the end of the summer

At stake is a grand total of 72 billion barrels (USGS estimate) of crude, lying untapped across an area 8 times the size of Texas.

For a few weeks now I've been writing to you about this huge new development in the petroleum industry, but I still haven't given you the one key piece of information you'll need to leverage this opportunity into the next 600-700% gainer.

You see, while Afren and Tullow are big players in the exploration game, they're not the only ones.

Their size, in fact, may be the one stumbling block – the one key factor that will make growth like last year's Mongolian play next to impossible.

They're simply too big.

But one company working in the heart of this future boom region is just the right size, and with deeds to over 130,000 square miles of territory in its hands, it's also perfectly poised to follow in the footsteps of last year's record-breaking winner.

Stay tuned for my detailed report, due out in the next week to ten days, about this industry-changing region, and the small-cap company that will leverage these confirmed reserves into the highest gains possible.

Sincerely,

Christian DeHaemer

Christian DeHaemer

P.S. Big oil discoveries are also happening close to home, and they're happening right now. To get the name, and the story behind what might be North America's biggest oil strike ever, read industry-insider Keith Kohl's recent report on Canadian Oil Sands, and the 1.7 trillion barrel resource they're about to unleash thanks to a recently perfected industrial process... Click here.

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Collapse 06-030-2011



Economic Releases for the week of Monday, June 20th, 2011:

Jun 21 - Existing Home Sales
Jun 24 - Durable Orders
Jun 22 - MBA Mortgage Index
Jun 22 - FOMC Rate Decision
Jun 23 - New Home Sales
Jun 24 - GDP

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