If the news today is an indication of things to come, the next few months are not going to be pretty. If the big boys are preparing for the worst, imagine the fear from the debt-ridden little guys.

Pandora’s Box of rate hikes is opened! Is the dollar being removed from oil trades? Deficits do matter, eh? Gold heads toward its all-time high…And Now… Today’s Pfennig!

Not much happened yesterday. The Dow fell 47 points. The newspapers attributed the reversal to surprisingly low consumer confidence numbers. Apparently, consumers aren’t so sure this crisis is over. As we reported yesterday, they’re saving money… maybe even at an 8% rate.

As the US strategic petroleum reserve (SPR) approaches capacity (721.5 million barrels filled out of a total possible 727 million, and will be filled by January 2010), the federal government will fade out of the oil-buying business. Some bearish traders believe that this factor can weigh in on prices, since most petroleum stocks in the United States are government-held rather than private. Bullish traders have also used the filling of the Chinese SPR as a reason that oil should go much higher.

There’s no question that the big “winner” in the global financial crisis has been China. While for the past two years developed economies have been scrambling to keep afloat China has taken a nuanced approach to achieving its economic and political goals.

The past 18 months have taken a serious toll on normal supply and demand in many industries. But no industry was impacted more than energy…

Offshore Nambia is quickly becoming one of the world’s greatest frontier oil provinces.

I’m going to open the door to a “secret society” for you today.

The number of traders betting that oil prices will drop outnumbers the number of traders who believe they will rise by the largest margin ever. Some analysts believe prices will fall significantly lower in the near future – at least into the low $60 a barrel range – after soaring to $75 a barrel in August.

The risk factors surrounding the nation’s oil industry are through the roof. The action is costing unprepared investors a lot of money. For proof, ask Delta Petroleum (NYSE:DPTR) shareholders.