Approximately one year from now the western world will likely be confronted with a bankrupt Russia and the early stages of a business recession among a majority of the industrial nations.
This will be the most serious challenge the west has faced since the breakup of th e Soviet Union. The threat then was the possibility of an out of control Soviet state on the loose.
The same threat will reappear in about one year from now. But this time the counter-force will be a much weaker military force on the part of the United States and the unknown influence of the Moslem presence.
This will wake up the petroleum groups and send crude oil prices way up, past last summer’s high. It will catch many oil – deficit emerging nations unprepared. Plastic manufactures will be able to raise prices more easily than any time in the past four years.
Overall, it will not be a beneficial time for the market.