Reports are coming out of the Gulf area indicating a massive new oil spill. The US Coast Guard is investigating reports of a massive sheen approximately 20 miles north of the Deepwater Horizon oil rig that exploded last April. "Multiple reports have come in of a sheen nearly 100 miles long and 10 miles wide originating near the site."
Reports indicate that the leaking rig is the Matterhorn SeaStar owned by W&T Offshore.
For those hoping to make a profit shorting W&T it looks like corporate insiders are one step ahead- W&T tanked hard into the close Friday afternoon.
If the massive spill is confirmed, The Bernank will think he is having a wet dream. A new oil spill combined with the tragedy in Japan provide the perfect political cover for QE3. Exploding crude prices will be blamed on MENA and the new oil spill- situations entirely out of the Fed's control.
Look for QE3 to be announced well before the June ending of QE2.
We recommend going long gold and silver bullion and related mining shares now, before the market reaches this consensus regarding QE3.