People who say it cannot be done should not interrupt those who are doing it. Welcome to From On High.

Saturday, February 11, 2012

Obama Gets His Wish

He wanted prices to skyrocket.  He wanted us using less oil.  He's gotten his wish.

Gasoline consumption in this country, as measured by retail deliveries from refineries to America's stations, has plummeted since he took office (you may want to click on the image to enlarge it):

Look close and you'll see two small dots to the lower right.  They represent the most recent data.

The takeaway?

"Deliveries in November 2011 were 30.9 MGD, a staggering 47% decline."

What does that mean?
If we stipulate that vehicles and fuel consumption are essential proxies for the U.S. economy, then we can expect a steep decline in economic activity to register in other metrics within the next few months.

Such a sharp drop would of course be "unexpected" given the positive employment data of the past few months. But as the data above shows, employment isn't tightly correlated to gasoline consumption: gasoline consumption reflects recession and growth.

In other words, look out below.
My God.