You Might Need to Burn Wood for Heat Soon

In today's Masters Series, adapted from the May 27 issue of the Chaikin PowerFeed daily e-letter, Pete details how the Russia-Ukraine conflict led to a surge in natural gas prices... explains why this uptrend might continue for much longer... and reveals how this could cause energy prices to spike in the long term... [Stansberry Research Logo] Delivering World-Class Financial Research Since 1999 [Stansberry Master Series] Editor's note: Pressure is filling up the energy market... The war between Russia and Ukraine has not only stoked geopolitical tensions, it has completely disrupted the global supply chain as well. You see, Russia is one of the top natural gas exporters in the world. And it has limited its exports amid this ongoing conflict in an effort to choke off supply for this critical resource. Pete Carmasino, chief market strategist of our corporate affiliate Chaikin Analytics, says Russia's weaponization of its natural gas supply only serves to tighten the energy market... In today's Masters Series, adapted from the May 27 issue of the Chaikin PowerFeed daily e-letter, Pete details how the Russia-Ukraine conflict led to a surge in natural gas prices... explains why this uptrend might continue for much longer... and reveals how this could cause energy prices to spike in the long term... --------------------------------------------------------------- You Might Need to Burn Wood for Heat Soon By Pete Carmasino, chief market strategist, Chaikin Analytics Millions of Europeans are struggling to heat their homes right now... Take Henry Backhaus, for example. The 65-year-old German man used to buy natural gas through a private gas distributor. But then, Russia's war in Ukraine sent prices soaring across Europe. Now, the private gas company can no longer afford to buy natural gas. So it dropped Henry as a customer. That gave Henry no choice but to work with the local utility to get his natural gas. The problem is, the local utility wanted Henry to pay the equivalent of $850 for the first month alone. That's more than he previously paid to heat his home for an entire year. So... Henry fired up his wood-burning stove. Thousands of folks across Europe are doing the same thing. Unfortunately, that's not an option for everyone. Many people simply need to pay the higher costs. Folks, we're nearing the end of summer here in the U.S. But winter will be here again before we know it. And America is closer to facing Henry's reality than you realize. Today, I'll explain how natural gas prices could potentially quadruple from here... --------------------------------------------------------------- Recommended Link: [Major Announcement From Dr. Steve Sjuggerud]( "This is what I'm doing with my own money right now – I recommend you do the same," says Steve, Founding Partner of Stansberry Research. In a brand-new update, he explains his No. 1 recommended sector that could reliably make you hundreds-of-percent gains in the coming months, no matter what the market does next. Plus, he explains why today is such a watershed moment... and the setup of a lifetime. [See Steve's urgent new message right here](. --------------------------------------------------------------- In the U.S., we've enjoyed lower energy prices for decades compared with our overseas counterparts. Natural gas in Europe costs around $30 per metric million British thermal units ("MMBtu") today. And it has been as high as $45 per MMBtu. Here in the U.S., prices are around $8 per MMBtu. Now, things are a little different in America. Historically, foreign pricing issues don't bother us. That's because North America is vertically integrated... Natural gas is either produced in the U.S. or brought in from Canada. It's easy to access. So we've benefited from a foreign-pricing buffer in the past. Even better, the shale boom led to an abundant supply. Growing shale production easily exceeded demand. The surplus led to lower prices and a stable outlook for the past 15 to 20 years. However, that's changing now. And we should prepare for the worst... I wasn't joking about burning wood to heat your home. It's happening in Germany already. And with U.S. natural gas prices already surging, it could become our reality next winter... Gas prices recently hit a 14-year high here in the U.S. And the market is tighter than some realize... In fact, the U.S. only recently became a natural gas exporter. And our surplus is relatively small compared with our consumption... Specifically, in 2021, our surplus only exceeded our consumption by about 13%. Nearly all of that surplus is tied up in exports. Sure, we benefit from our gas-rich shale deposits. But low prices have slowed production. And the U.S. simply wasn't prepared for the kind of market we're seeing right now... It takes a long time for production to ramp back up. You can't just flip a switch to turn it on. The energy space is also facing pressure from climate-change enthusiasts. As a result, not as much capital is flowing in for oil and gas producers. And no matter where you stand on the issue, the fact is simple... policy changes hurt investment in the oil and gas industry. Then, you need to add in increasing headwinds due to labor shortages and more. And suddenly... it's a recipe for disaster. Folks, keep your eyes on the energy sector today. We might be burning wood to heat our homes sooner than you think. Good investing, Pete Carmasino --------------------------------------------------------------- Editor's note: You don't have to be blindsided when a huge market shift is on the horizon. That's why Chaikin Analytics founder Marc Chaikin went public earlier this year to issue a dire warning for U.S. stocks. And now, things are playing out just as he predicted... You see, Marc's systems give him a clear picture of what's happening in the markets. And they recently detected several rare pockets of buying opportunities... with the potential for multiple 300% to 500% winners. [Click here to get all the details](. --------------------------------------------------------------- Recommended Link: [Wealth Shock Coming: September 2022]( In the past 30 days, the chance for a recession increased from an estimated 15%... to 90%. The decline hit fast, just as Wall Street legend Marc Chaikin predicted. But Marc says the worst is yet to come, and that is why he just stepped forward with his most urgent warning yet. He explains the steps to take to protect yourself are simple, quick, and backed by 50 years of proof – [and you can find it all right here](. --------------------------------------------------------------- You have received this e-mail as part of your subscription to Stansberry Digest. 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