Still as the Western politicians responsible posture, most of them with a public relations agenda rather than a military agenda, GREED & fear would continue to advise investors to focus on Bahrain, the Shiite area of Saudi and also the Shiite area of Kuwait where again hundreds of thousands of Shiites live close to the oil producing area.Indeed, oil feels like natural hedge?
Unfortunately, the odds still favour further escalation, with such escalation being encouraged by both Iran and Iraq which now has a Shiite dominated regime. This issue is a much greater threat to the near term prospects of global financial markets than radiation levels in Japan or the sideshow in Libya. Meanwhile, if Saudi starts taking on its own Shiite population in a more violent fashion, what are the “Allies” going to do? Invade Saudi!
Wednesday, March 23, 2011
Focus On Saudi And Shiite
Christopher Wood at CLSA Asia-Pacific Markets scribed yesterday: