In Merreye Olde, a big-time oil trader named Steve Perkins got smashed, went back to his office and bought about seven million barrels of oil -- price be damned. It happened in the wee hours and woke the snoozy overnight oil markets with a collective WTF?. Reactive panic strained global order desks. "Buy, dammit, buy!"
International oil prices spiked. The market didn't calm until it became apparent that one of the Masters of the Universe screwed up while in a well-oiled state. Steve's company lost millions. He was fired, fined, and invited to seek another profession.
It happened about three years ago, and I didn't catch why it is again timely enough to rate a mention on CNBC this morning while I was trickling charging my nervous system with the first cuppa. But I'm glad it did because it reminded me to be pissed at the lunacy of rational markets when they come under control of irrational men.
It seems to me that there are about three ways to become irrational. One is to be born stupid. Another is become ignorant, generally through intellectual laziness. The third is to get drunk, either on a nice single malt or on daydreams of personal power and riches -- or both.
Now: Since TMR readers are men and women of lively minds who are quite comfortable making logical connections between seemingly disparate events, it is to be expected that some of you will read about oil hustler Steve of perfidious Albion and think about money hustler Ben of our own Federal Reserve System. One shrieks "Buy!" and the other howls "Print!" Each in his own way turns the economies of the world into a game of seven-card no-peek stud played by nincompoops with a deck of 51. Or 53. Everything wild except deuces, jokers, and one-eyed jacks.
I don't feel like typing a long rant on confluence of these lunatic notions, but if you care to, you have my full endorsement. Personally, I'm off to pursue more immediate challenges related to distorting world oil markets by splitting and stacking a fresh load of sustainable, renewable biomass.
I will, however, leave you with a reminder, courtesy of Mr. Grey: "Any sufficiently advanced incompetence is indistinguishable from malice."