The oil prices, after that for some weeks had “U” shaped suggesting the beginning of a solid rebound, now are again falling down, prospecting gloomy scenarios, with values below the threshold for a likely global recession, as explained in an our previous post.
The official explanation for these falling prices, as well explained on some blogs by Tom Whipple – a retired 30-year CIA analyst considered one of the most highly respected experts of oil issues in the United States – is that “US oil stockpiles continue to climb and that, about a month ago two major investment banks issued reports forecasting that prices would fall still further in the next few months. The large drop in active drilling rigs in the US, and the assumption that US oil production would soon start falling too, sparked the recent rebound”.
End of day Commodity Futures Price Quotes for Crude Oil WTI (NYMEX).
According to the qualitative analysis of Whipple, “without any surge in demand, and none is currently in sight as the Chinese economy falters, the oil glut seems likely to continue for the next few months. Nearly all observers are saying that oil prices will eventually move higher, but that they are unlikely to stabilize at the higher level until there is solid news concerning major supply reductions, either from the US shale fields or from OPEC”.
But we prefer to analyze the facts searching for the “smoking guns” given by the coincidence in time between specific events and price variation, because the classical explanations of the ongoing trends in oil prices do not take into account the important new actor, that are LENR, and this is a big weakness of a traditional old-style approach to the problem.
In these last weeks, there have been many events regarding LENR. Have they had some effect on the oil prices? No one has discussed this topic. Let charts to speak!
We see that on February 18, shortly (more than a few minutes but less than a few hours) after the publication online, on Andrea-Rossi.com, of many impressive photos showing a 1 MW E-Cat in advanced stage of development by a large team, the oil price fell by about $ 2. The news about the photos is circulated starting from around 19:00, published on E-Cat World here (the post shows the date of the update, but the news has been posted on Feb 18).
Crude Oil chart showing the fall happened on February 18, 2015.
The important announcements made by Prometeon Srl on March 6 and, especially, on March 10 have triggered a new and more sharp fall of the oil prices, as shown in the chart below. In fact, on March 6, the blog E-Cat World has published the news that, according to a video of LENRG featuring Eng. Guido Parchi (President of Prometeon Srl), a group of researchers headed by the expert Prof. Christos Stremmenos is working on LENR for Prometeon Srl, former licensee for the E-Cat distribution in Italy and now a LENR startup.
Guido Parchi said also that his company is collaborating with STMicroelectronics regarding a new system of direct conversion of thermal energy into electricity, that let many speculate about a possible application to a LENR reactor. Parchi revealed: “We are already doing the first interesting experiments. The first tests have proven themselves very, very promising”.
A very interesting detail of Crude Oil prices in the last 3 months.
On March 10, E-Cat World has published an interview with Guido Parchi made by Frank Acland. Parchi gave new impressive details. He started with: “At the very first test we found some new elements in the ashes undoubtedly resulting from transmutation processes; their atomic numbers are in accordance with Storms’s theories”.
Then, he continued: “The scientific team has developed new advanced and challenging hypothesis about how to activate the LENR, control the reactions and avoid runaway phenomena that could cause the melting of the device and/or of the reacting cell; we are now realizing two new different reactors to check the theoretical assumptions”.
Obviously, it is likely that the announcement, made in the following days, of many other replication efforts ongoing and the news by Daniele Passerini about a possible new mechanism energetically advantageous to obtain methane from CO2 may have reinforced the effect, visible as an almost continuous fall in the oil chart. For all these reasons, probably hereinafter the oil prices will be quite difficult to predict and we’ll see unforeseen behavior.
This piece has been written in co-authorship with the Italian trader Simone P.