In his latest update, Greg Mannarino discusses his outlook on crude oil, and why it is black gold.

Mannarino examines the terminal phase of the US dollar’s decline, which means that not only gold and silver, but oil will soon go super-nova priced in US dollars. 

Mannarino states that the middle class will not be able to cope with the rising cost of food and energy as the Fed’s QE policies continue throughout Bronco’s 2nd term, and the remainer of the middle class’ wealth is distributed to Wall Street.

    • Yeah, crude is pretty useless stuff to most of us but gasoline or diesel might be another matter.  We could use that for trading material.

    • That is true because you can not use crude oil directly on your car to power it up since you have to refine it first. You can probably trade a bucket of crude oil for some eggs to a person that refines crude oil.

  1. Gold, Silver and Oil are all commodities that are getting rarer are rarer to find. Anything that is rare/not easily duplicated/created and can be exchanged for barter can be money. The idea of money is an abstract one. Antlers, seashells, wood and tulips were once rare and considered money. As long as the society agree to always accept the item for another its money. Oil is considered money between nations.

    One day oil will not be considered money between nations just like Antlers(buck), tulips, wood and seashells is no longer considered money between people. This could of occured over 50 years ago but the elites made sure all free energy technologies were surpressed. Nikola Tesla was the first to introduce this technology and wanted to transmit free electricity wirelessly to everyone (Look up Wardencliffe Tower) until JP Morgan discovered Teslas true intentions and destroyed his reputation and his ability to get funding in the future. Tesla died penniless. But his total works impact on the human race has yet to be realized because upon his death the government confiscated all his research and Made it Top Secret. UFOs arent aliens thats disinfo. UFO tech was pioneered by Tesla and his research with Magnetics. Their have been many other researchers that have created free energy technologies but either their patents were purchased by big oil and buried to never see the light of day, inventors were killed or news organizations owned by the elite brushed them off as crackpots.

    Tesla invented an electric car, ufo flight vehicles, radio, invented AC current, neon lights, laser defense tech etc…

     One day all of Teslas tech will come to light, but this wont occur until the illuminati have won their fight against the human race and acheived all of their objectives.

    What is most fasinating of the man is that he thought Einstein was an idiot and created his own theory of physics. Current physics is not law but still a working progress. Tesla thanked Einstein for steering science in the wrong direction because what Tesla knew about Physics is considered dangerous. His most dangerous discovery was how earthquakes, hurricanes etc can be created. His research on soundwaves is said to transmute certain metals into gold.
     

    • “One day all of Teslas tech will come to light, but this wont occur until the illuminati have won their fight against the human race and acheived all of their objectives.”

      Yeah.  That OR they are all dead.

      Einstein was FAR from being an “idiot”.  He was one of the great mathematical minds of the 20th century.  Like Newton before him, when the current science did not provide answers to new and intricate questions, he invented new science that did.  Many of Einstein’s theories have not been proved but they also have not been disproved.  As a scientist, I can tell you that virtually any physicist alive today would give virtually anything they have to disprove any part of Einstein’s theories to achieve fame and fortune, yet none of them have.  Whenever new data is found, though, it supports Einstein’s theories.  Quantum Mechanics is a fascinating study and when one understands even what little we humans know of this part of science, they get the feeling that they are looking into God’s tool box.

      Before he died, Einstein worked on what he called The Grand Unification Theory.  He did not live long enough to complete that work but if he had, the knowledge of science and the universe around us would have made a quantum leap (pun intended) forward.  Knowledge of this kind would allow humans to convert any form of energy into matter and back again or any form of energy into any other form of energy. With this, it should be possible to have interstellar flight, matter transmission, force fields, and who knows what all else… very powerful stuff, indeed.

    • @Ed_B Einstein was far from being a genius. In fact, he was a liar and a cheat. Enough evidence exists to suggest that he had stolen and plagiarized the work of other scientists while he worked at the patent office in Bern as an assistant examiner. His modus operandi was straightforward, wait until others submit brilliant patents and pass their work off as your own. Those who knew him said he couldn’t even tie his own shoe laces. I’ve seen newspaper clips for one where they’ve admitted to Einstein’s thievery, but because those of his kind control the media, most people didn’t get to see it, because it was hidden in sections of the newspaper that seldom get the full attention of readers. They waited until his death before they lifted him to the status of a full-blown ‘genius’, because he couldn’t even answer basic questions pertaining to some of the theories/patents he claimed was his own correctly while he was alive.

    • @Silverbullion I didnt say Oil was a currency. I said it was money between nations. Oil is a commodity just like Silver. It isn’t a stretch of the imagination to say oil is money just like Silver is money. After all they are both commodities! The link you provided states Silver is Money. So just by their relationship Oil like Silver can be money. Gold as well. That is the reason why the same amount of gold ten years ago can buy the same amount of oil because they are both money as long as both sides agree it is. Personally I believe Oil will be worthless in the future but thats another Subject all together.
      As for the link provided I agree with that list as a general long term view of money between people. But I said it is money between Nations not people. Let me explain.
       
      Durability- Oil has been buried under ground for millions of years. I dont believe it goes bad :)
      Convenient- If nations were to exchange oil instead of say gold it will actually be more convenient. With Gold you have to drill though each bar to make sure it isn’t laced with Tungsten. Same story with Silver.
      Fungible- I believe Oil is fungible. You can replace one oil drum with another oil drum of similar purity.
      Intrinsic value- I think we can both agree that in our current Economy Oil has value. After all isn’t this the real reason we were in Iraq?
      Easily Transportable- Oil is easily transportable via Pipelines or Oil drum in my opinion. Not so much with people but between nations it works out.
      Store of value- Oil can serve as a financial hedge or safe haven against adverse economic, political and social changes. If the nations currency is devalued the price of oil goes up.
      Measure of Wealth- like Silver it too has a certain weight and verifiable measure.
      Deferred Payment- Oil can be used to settle a debt between nations.
       
       

    • @Ed_B I hope you are right in regards to the tech coming to society and that the Illuminati will be eliminated.
      As far as Einstein goes. I didn’t say Einstein was an idiot I said Tesla did. Actually Tesla said (to quote the man more properly) that Einstein was a “fool”. Tesla proved his Theories with his inventions. Einsteins theories are still under review. And are breaking down. Tesla provided Feedback to Einstein stating that Relativity is nonsense. And gave reasons why. No one listened except the government. That is why they confiscated his lifes work. In fact Einsteins Relativity Theory has been proven wrong many many times. For instance Einsteins theory states that NOTHING can travel faster than the speed of light yet it has been discovered that Neutrinos actually travel faster than Light. Gravitional waves never discovered. Dark matter never discovered. And the list goes on and on. 
      The problem with Einsteins theory is its foundation upon which it rests. And the foundation to Relativity is the Michelson-Morley experiment in 1887. Its purpose was to discover the aether. They never detected it so science in the 20th Century payed the price. Tesla on the other hand believed it did exist and that is why he was so ahead of his time.
      Einstein also never disagreed with Tesla’s opinion on Relativity and even agreed with Tesla. Einstein even stated he could be wrong. Not saying that Einstein didn’t have any good ideas but as @silverbullion beautifully wrote their is a good chance that those ideas weren’t his.
      Current Science based on relativity and other THEORIES state that free energy devices are impossible because it breaks the laws of Thermodynamics, but all laws are meant to be broken with a loophole. Stating free energy is impossible is like saying: Machines cant fly, Sound barrier cant be surpassed, Nothing is faster than the speed of light…
      My first love in life was science at the age of 11 and have read anything I can get my grubby paws on. I read many current science books. For instance books on string theory is a bunch of garbage. Brian Greenes book title is pure irony. Their is nothing Elegant about the String Theory Universe. Elegance should be simple and clean. Einstein in my opinion was a fool and could have lived another million years and would have never figured out a T.O.E because his Relativity theory is pseudo science. On the other hand Teslas work is really really interesting. Replace Gravitional Waves with Universal Compression and lets see where Science in the 21st Century takes us!
       

    • @StackerX @StackerX  

      “I didnt say Oil was a currency” – Exactly, you referred to it as money and that is why I responded, it is not money, but currency at best, whether it is purely used between nations or not.
      Durability – I am not an expert when it comes to whether oil retains its quality above ground, but oil storage tanks can easily decrease the quality of oil stored over time and even lead to a loss of oil into the ground which is very time consuming and expensive to recover. The life expectancy of most oil storage tanks is 10-15 years.
      Convenient – lol I don’t think so.
      Fungible – To some extent yes, but then again it depends on the oil drums and what have you.
      Intrinsic value – It refers to the inherent value of something, it is not derived from circumstances or the status of any economy.
      Easily Transportable – I don’t think so. E.g. how are you going to easily get oil from South Africa to the States? J
      Store of value – All oil storage tanks rust, which makes oil a destroyer of value. J
      Measure of Wealth – To some extent yes.
      Deferred Payment – To some extent yes, although I simply don’t see how oil rich countries will accept payment for debt in the form of oil.  
      Acceptable Form of Exchange or Payment for Goods and Services – To be acceptable as a form of exchange or payment for goods and services, something for one needs to be dividable without difficulty and without destroying its value.

      Thus, in my opinion, oil can be used to some extent as money, but it isn’t money in the truest sense of the word, especially with gold and silver bars and coins around.

    • @Silverbullion
      For the record I believe Gold and Silver is a better form of money than Oil. If I believed Oil was superior I would be on a Oil Forum and collecting Oil drums. :)
      Lets re-review the definition of money in regards to Oil by using the description of Money provided by the website link in your previous post. Before I do let me pull out Websters Dictionaries definition of Money first.
      Websters Definition: SOMETHING generally accepted as a medium of exchange, a measure of value, or a means of payment.
      1) Medium of Exchange – Yes Oil has been used as a medium of exchange. Recently Vitol was involved in trading oil for food, which caused a scandal. Google: “Vitol admits Iran fuel oil deal”. Oil has been used in the past in exchange for Oil, Food and Gold.

      2) Value – Oil is used to heat homes and is converted to gasoline. Ask NJ and NY residence if these things are of value and they would say yes. If they weren’t of value people wouldn’t wait on line for 3 hours and get involved in verbal or physical fights. Value is derived from supply and demand. If their was an infinite supply of oil there would be no demand. Demand = value
      3) Means of Payment – Oil can be used to settle a payment between Nations. If the USA were to call up China right now and say we would like to settle are debts with you with Oil do you believe China would refuse? Considering their is a race for commodities in the world.
      Now for your Stricter Definition:
      Durability – I was talking about the durability of oil not oil tanks. Considering Oil is derived from decayed matter I think it is safe to say the older Oil gets the more richer and more valuable it becomes. As far as oil tanks are concerned yes they have to be maintained but consider Gold and Silver vaults also have to be maintained and Guarded with an army. Considering you have to pay an army a weekly wage which do you believe to be more cost effective?
      Convenient – I guess Convenience is a matter of opinion. Some Nations would prefer Golds smaller size over Oil. But others who cant use gold directly, have no storage issues and don’t want to go to the trouble of verifying if the Gold is 100% pure would probably prefer Oil over Gold. In the last 30 years most countries preferred Oil over Gold. Most countries sold off their gold (example Canada Sold all their 1023 tons of gold)but the majority always bought oil instead of Selling it off.
      Fungible – we both agree to an extent
      Intrinsic Value – Already discussed this above. Value is derived from supply and demand.
      Easily Transportable – I would concede Gold and Silver is easier to transport than Oil. No doubt. Oil is brought to the states every day via Oil tanker. If the ability to retrieve is worse than the need the USA or any other country wouldn’t go through the trouble. This example is similar to the personal carry of Gold Coins verses Paper money. Sure Paper money is more convenient because it is less Heavy and foldable but which would you rather have?
      Store of value – According to Wikepedia live stock is a store of value. Live Stock such as cows have a limited life expectancy. Oil has a longer life expectancy than live stock. According to Investopedia: Any form of commodity, asset, or money that has value and can be stored and retrieved over time. Oil is commodity. The real question is the time agreed upon by both parties. The time can be short term(Live Stock) or long term (Gold)
      Measure of wealth – We both agree to an extent
      Deferred Payment – We both agree to an extent

       

    • “I didn’t say Einstein was an idiot I said Tesla did.”

      Then I apologize for misreading your comment.

      I admit that Tesla was an interesting character… mercurial, occasionally brilliant, electrical engineer, college dropout, tinkerer, cult figure, very impatient with others who could not grasp what he was saying mostly because he used words and terms in his own way that was not common in speech at the time.  Yes, he did invent the AC motor / transformer and some other things, which he licensed through George Westinghouse for beaucoup bucks, but he was not highly regarded at the time by many scientists due to the many failures he also had.  One should always have their failures in the privacy of the lab and their successes on the public stage.  His much ballyhooed world wide radio experiment failed to work after spending quite a lot of money on it.  He lost his fortune by funding his experiments after it should have been clear that a different scientific track was in order.  He died penniless and in debt in 1943.

      Einsteins’ theories have not broken down.  They may require refinement, which advancing science and technology usually makes possible as they advance.  Einstein’s Theory of Relatively was a major refinement of Newtonian physics and explained many things that Newton never did.  This does not reduce Newton’s contributions in the areas where his understanding of physics was applicable.  Quantum Mechanics is a study that bears a lot of time and effort, IMO.  Few
      people really understand it or have even studied it because the math is extremely difficult.  Even so, it has provided answers to some questions that scientists had but had no way to answer them prior to QM radically changing the
      study of physics.

      As to things moving faster than light… recall that something like tachyons can appear to move faster than light under some conditions but that subsequent and more detailed experiments revealed that, as a waveform, they do not, in fact, propagate faster than light.  Is it possible for anything to move faster than light?  Einstein said that it wasn’t but that was within the limits of his study of the universe.  If we can get outside those bounds, who knows what will become possible?

      Also, Einstein was interested in the 4 dimensions of space-time and his work was based on that.  Who is to say, however, that there could not be more dimensions than this for which newer theories will be required? I think it more likely than not.  Science advances, usually by building on the work of previous generations of scientists but also in rare instances of pure brilliance.  It is continuously reinventing itself, refining our understanding, reaching greater heights.  This is not to say that previous science was wrong so much as to say that previous science was less complete and perhaps not applicable under some of the radically new conditions we wish to study.  Sub-atomic particles have existed since the birth of the universe but humans were completely unaware of them until the 20th century.  It is clear that what we do know of science is but a tiny part of that which can be known.  Slowly as it seems to occur, we are adding to our knowledge and many people and groups are contributing to it.  I will leave arguing who contributed more to those who have the knowledge and experience to do a good job of it.
       

    • @Ed_B  I agreed with just about everything you said. Einstein was one of my favorite heroes growing up. But like the saying goes “You have to kill your Heroes” to pay them homage and move humanity forward.

      Good science and knowledge is built with good open minded debate IMO. Thanks for the interesting thoughts! 

    • @StackerX I said what I wanted to say, but will add this: Websters and most other dictionaries have very little validity in my opinion when it comes to conveying the true meaning behind certain words and there is a reason for it.

      Definitions of money according to some of the dictionaries we have:

      “The most common medium of exchange; functions as legal tender” or “wealth reckoned in terms of money” or “the official currency issued by a government or national bank” (WordWeb). 

      “Money is any object that is generally accepted as payment for goods and services and repayment of debts in a given country or socio-economic context. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, occasionally, a standard of deferred payment” (Wikipedia). 

      “a current medium of exchange in the form of coins and banknotes; coins and banknotes collectively” or “formal sums of money” or “the assets, property, and resources owned by someone or something; wealth” or “financial gain” or “payment for work; wages” (Compact Oxford English Dictionary). 

      “A medium that can be exchanged for goods and services and is used as a measure of their values on the market, including among its forms a commodity such as gold, an officially issued coin or note, or a deposit in a checking account or other readily liquifiable account” or “the official currency, coins, and negotiable paper notes issued by a government” or “assets and property considered in terms of monetary value; wealth” or “pecuniary profit or loss” or “one’s salary; pay” or “an amount of cash or credit” or “sums of money, especially of a specified nature” or “a wealthy person, family, or group” (American Heritage Dictionary of the English Language). 

      “what you earn, save, invest and use to pay for things. Money can be kept in a bank, where it can earn interest. If you have a bank account, you can pay for things with a check” or “the coins and pieces of paper that you use to pay for things in a particular country” or “the coins and pieces of paper that you can use to pay for things” (Macmillan Dictionary). 

      “the coins or notes which are used to buy things, or the amount of these that one person has” or “if you say that there is money in something, you mean that the activity will produce a profit” (Cambridge Advanced Learner’s Dictionary). 

      “A legally or socially binding conceptual contract of entitlement to wealth, void of intrinsic value, payable for all debts and taxes, and regulated in supply” or “a generally accepted means of exchange and measure of value” or “a currency maintained by a state or other entity which can guarantee its value (such as a monetary union)” or “hard cash in the form of banknotes and coins, as opposed to cheques/checks, credit cards, or credit more generally” or “the total value of liquid assets available for an individual or other economic unit, such as cash and bank deposits” or “wealth” or “an item of value between two parties used for the exchange of goods or services” or “a person who funds an operation” or “of or pertaining to money; monetary” (Wiktionary). 

      “Money consists of the coins or banknotes that you can spend, or a sum that can be represented by these” (Cobuild Student Dictionary for Learners of English). 

      “a means of payment and measure of value,  some cultures used to use shells as money” or “the official currency, in the form of banknotes or coins, issued by a government” or “a financial sum or income” or “an unspecified amount of wealth,  money to lend” or “a rich person or rich people,  he married money” or “for my money in my opinion” or ” one’s money’s worth full value for the money one has paid for something” or ” put money on to place a bet on,  pecuniary” (Collins Pocket English Dictionary). 

      “medium of exchange: a medium of exchange issued by a government or other public authority in the form of coins of gold, silver, or other metal, or paper bills, used as the measure of the value of goods and services” or “denomination: a form or denomination of coin or paper money” or “somebody’s coins and bills: the amount of coins and bills in somebody’s possession” or “savings or credit: the amount of money held in a bank account or available on credit to somebody” or “wages or salary: the amount somebody is paid for working” or “convertible assets: assets or property that can be converted into cash” or “national currency: the official currency of a country” or “recognized medium of exchange: a commodity, usually gold, that is officially recognized as a medium of exchange and a measure of value” or “rich people: a rich person, family, or class” (Encarta® World English Dictionary, North American Edition). 

      “standard pieces of gold, silver, copper, nickel, etc., stamped by government authority and used as a medium of exchange and measure of value; coin or coins also called hard money” or “any paper note issued by a government or an authorized bank and used in the same way; bank notes; bills also called paper money” or “any substance or article used as money, as bank notes, checks, etc.” or “any definite or indefinite sum of money” or “property; possessions; wealth” or “very wealthy persons or groups” or “any form or denomination of legally current money” or “money of account” or “money won as a prize” or “sums of money” (Webster’s New World College Dictionary, 4th Ed.). 

      “coins or paper notes issued by the government and marked with specific values; legal currency” or “any article that is used to represent comparative values and is exchangeable for goods and services; medium of trade” or “wealth” or “an unspecified amount of currency” (The Wordsmyth English Dictionary-Thesaurus). 

      “any circulating medium of exchange, including coins, paper money, and demand deposits” or “gold, silver, or other metal in pieces of convenient form stamped by public authority and issued as a medium of exchange and measure of value” or “any article or substance used as a medium of exchange, measure of wealth, or means of payment, as checks on demand deposit or cowrie” or “a particular form or denomination of currency” or “money of account” or “capital to be borrowed, loaned, or invested: mortgage money” or “an amount or sum of money: Did you bring some money?” or “wealth considered in terms of money: She was brought up with money” or “moneys or monies, Chiefly Law.pecuniary sums” or “property considered with reference to its pecuniary value” or “pecuniary profit: not for love or money” or “for one’s money, Informal.with respect to one’s opinion, choice, or wish: For my money, there’s nothing to be gained by waiting” or ” in the money, Informal” or “make money, to make a profit or become rich: You’ll never make money as a poet” or “on the money, Informal” or “put one’s money where one’s mouth is, Informal.to prove the truth of one’s words by actions or other evidence; demonstrate one’s sincerity or integrity: Instead of bragging about your beautiful house, put your money where your mouth is and invite us over to see it” (Info please Dictionary). 

      “any circulating medium of exchange, including coins, paper money, and demand deposits” or “paper money” or “gold, silver, or other metal in pieces of convenient form stamped by public authority and issued as a medium of exchange and measure of value” or “any article or substance used as a medium of exchange, measure of wealth, or means of payment, as checks on demand deposit or cowrie” or “a particular form or denomination of currency” or “money of account” or “capital to be borrowed, loaned, or invested: mortgage money” or “an amount or sum of money: Did you bring some money?” or “wealth considered in terms of money: She was brought up with money” or “moneys. Also, monies. Chiefly Law. pecuniary sums” or “property considered with reference to its pecuniary value” or “pecuniary profit: not for love or money” (Dictionary.com). 

      “The most common medium of exchange; functions as legal tender” (UltraLingua English Dictionary). 

      “Gold, silver, and some other less precious metals, in the progress of civilization and commerce, have become the common standards of value; in order to avoid the delay and inconvenience of regulating their weight and quality whenever passed, the governments of the civilized world have caused them to be manufactured in certain portions, and marked with a Stamp which attests their value; this is called money” (Legal dictionary). 

      “A generally accepted medium for the exchange of goods and services, for measuring value, or for making payments. Many economists consider the amount of money and growth in the amount of money in an economy very influential in determining interest rates, inflation, and the level of economic activity. There is some disagreement among economists as to what types of things actually should be classified as money; for example, should balances in money market funds be included” or “a commodity, asset, or (most commonly) currency that may be exchanged for goods and services. Usually, the domestic government issues its own money and provides penalties to persons and businesses in its jurisdiction that do not accept it. Money and the money supply are integral to determining interest rates, inflation, and especially economic growth. There is no uniform agreement as to what qualifies as money; some economists include more mediums of exchange than other economists. Every society throughout history has used some sort of money, even bartering economies traded for something perceived to be equivalent” (Financial dictionary). 

      “Legal tender, cash” (InvestorWords.com). 

    • @Silverbullion thats alot of definitions! :)
      “I said what I wanted to say, but will add this: Websters and most other dictionaries have very little validity in my opinion when it comes to conveying the true meaning behind certain words and there is a reason for it.”
      Fair enough. This was indeed a fun money debate. Lets argue about what a currency is now lol. Just kidding! later!

  2. Oil isn’t an easily carried commodity so I don’t see it classed with gold and silver. I can trade for eggs with a single silver dime from my CSA and get 2 dozen. Bucket of crude and she would ask what the heck she was going to do with it.

  3. If the price of oil goes supernova, then so will gold and silver’s prices because today, physical gold and silver are mainly mined with the oil energy. All commodities will skyrocket when the US dollar will go to hyperinflation scenario.

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