Throughout the world, motor vehicle operators are experiencing high prices for gasoline and oil with an acute shortage of diesel fuel worldwide. A lot of this comes from disruptions in Russian fuel sales. Saudi Arabia has stepped up and agreed to increase sales of oil products. Production of oil and natural gas in Norway has been stepped up with the goal of helping Europe. It is likewise in the US and even in Argentina with the Vaca Muerte shale oil field in Patagonia.
These moves are positive. Don't get your
hopes up about any decline in fuel prices soon. You aren't going to just get
"hit" when you pull up your vehicle for gas and diesel fuel. Diesel
fuel is used to power trucks that deliver food and many other things that we
use daily. When farmers go to fertilize their fields, they need diesel fuel.
This means higher food prices that will hit some lower-income people very hard.
I'm a veteran of years of hyperinflation
in Brasil. Elena is a veteran of years of hyperinflation in Argentina. People
on fixed incomes like pensions get hit hard. If you have an income with
adjustments for inflation, the adjustments are never high enough to offset the cost-of-living
increases.
You have to be careful. Plan your trips
carefully to save fuel. I strongly recommend switching to an electric vehicle, if
possible. It means shopping more carefully. If possible, buy in bulk things
that you know are going to accelerate in price. It means getting creative with
credit card use. It means being really shrewd with how you save money. Talk to
your financial professional to find safe funds and vehicles to park your
savings in.
Elena and I survived years of inflation.
So can you.
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