Deflation is not usually the term used for a stock market swoon just like you don't say there is inflation in the Dow Jones Industrials when prices rise. Asset price collapse or asset contraction is a better term.

When oil prices fall Exxon is the one to buy not Chevron. Chevron just finished spending a lot of money increasing its oil production not processing. Exxon increased its processing and the analysts laughed at Exxon. We will see who laughs last. As oil drops Exxon's processing margins soar. The good news is Chevron at least stopped expanding, however, there is no guarantee they won't try to expand again. And no, they don't raise capital to expand. They tend to just load up on more and more debt.

It is funny that natural resource energy from solar and wind farms actually encourage the use of fuel as back up power because it can be turned on and off faster and more efficiently than nuclear, water, and giant generators built by burning other things like coal. Likewise electric cars that require short term use of energy also encourages this power generation. Thus, we really have a growing need for oil driven power with most "clean energy solutions". This is ironic although most people are unaware of the end results of their clean energy drives without thinking through the whole issue.

In the end, if you want to help the environment you must cut your energy use. Most other things just tend to displace your carbon footprint not decrease it. As we can see with France's protests. Doing this is not popular in the least and the ones with the biggest footprint are actually the wealthy including those who are so gung ho on electric cars and solar panels. Their footprint is often over 100% greater than the magnitude of a guy living in a 3 bedroom house with a family driving a Humvee. How? Heating and cooling a giant house. Flying her and there (travel and vacations). and consumption (especially if most things you buy are made elsewhere). It all adds up. Especially if you include construction, services, and transportation.

We need a rational discussion on global energy use. Right now most of this stuff is piecemeal and largely tokenism. I enjoy this author's discussions on energy. They are worth the the read even if you disagree with her.

Global synchronized growth is dead so it makes sense when it died global synchronized decline has replaced it. This is why governments should not try to run the economy too much. They do a terrible job of it.

As I stated months ago, the semi cycle is ending. It is getting a bit too late to exit this field in that you will be taking a big hit selling now. That said, as long as the market is unstable semis will not do well.

Sadly this is good for major players. Until small indebted and near bankrupt oil producers and oil equipment and developers go under the oil market will not prosper long term. The gamblers will inevitably pay the price and the companies that couldn't make a profit at $70 a barrel are destined for a very bad future. All in all Exxon was right not to go for the gusto when oil prices rallied past $70 a barrel and they still produce oil the cheapest of any US producer. Likewise, they will gain a windfall in their processing business despite bad analysts decrying their investment in this field as bad.

Listen to logic and reasoning, not the analysts and public opinion. As for the attacks on Exxon for not being green enough, the real problem for environmentalists is not Exxon but the low oil prices which they aren't complaining about as they drive around and heat their homes. Green energy thrives in higher oil prices and does badly in low oil prices. They should focus on this more than making a hoopla about companies meeting the needs of consumers.

We all know that a country losing its manufacturing exporting dominance is in for a tough time. China is no different that Japan, Korea, Hong Kong, and Taiwan in losing its manufacturing bases as their economy grows and their labor and environmental laws advance. Increasingly regardless of Trump a soft landing is not liable to be in the cards. In many ways China is being forced to adapt which is good for them. Some pain now will help prevent the major pain of an unannounced and unexpected manufacturing collapse later.

China should change their laws and business practices for their own good, not just to please foreign countries.

The Fed would be better off not hiking and continuing to get rid of QE. They have next year to fix rates higher if Trump is dumb enough to keep causing inflation and economic turmoil with tariff wars. In actuality Congress needs to prevent presidents from usurping their right to tax with tariffs which is a tax and Congress should at least have some power in such actions Constitutionally.

This is a good analysis. Although it is not pointing to an immediate recession, sentiment is down as the trade wars continue and its pretty clear that there isn't room for more tax cuts to keep the economy stimulated in the future. The good news is the economy still has some positive growth. It is debatable how long this will last as inflation and rates rise. The prudent thing to do is to try to stop inflationary pressure and stop the rate hike. the simplest way is to reverse the tariffs and stop trade wars which would also stimulate the global economy.

All I can say is thank goodness oil prices aren't rising as well. If they were, we could well see enough inflation to cause a recession.

I think the selloff has more to do with the concerns over trade wars and the global economy more than the Fed's actions. This is just that, a selloff at this point, not a bear market as many are hinting at.