Reuters - Video

EDITION: U.S. | U.K. | IN

Top News

Breakingviews: Deflating strategic reserves

Monday, Sep 30, 2013 - 03:25

Sept. 30 - Reynolds Holding and Robert Cyran discuss the U.S. government's botched sale of helium stockpiles and why socking away valuable resources rarely makes sense.

▲ Hide Transcript

View Transcript

Today we have a very uplifting story feeling. The US government started stockpiling the stuff back in 1925. Minnesota. To fill up fleet of zeppelin it's now that -- really work out so now what's trying to get rid of the stuff and wreaking Havoc in the markets and everything else -- -- What's going on here first of all why do we care. About healing healing -- Easton he -- children's balloons but also very important for scientific research like any -- you want it cool something -- well -- you need to use helium select. All the cellphones and -- -- we're -- -- heat liquid it and those MRI districts are totally out of it yet it's incredibly valuable. On the promise that it if the byproduct natural gas and run and if you send me 25 despite the stock pilots and they and they just. Accumulated to. Huge amount of and they decide 1986 get rid of it yet probably as they did it's really stupidly trying to contest. Is that say no don't do anything else that and so that is they got rid of -- are really low price and now they all the feeling that they're getting rid of the stockpiles is about. It's it's roughly a third -- local consumption consumption right. And so that means is -- when you got someone dumping that much -- on the market and generally low price you know no one else wants to produce anymore helium okay I'm in demand is rising so what this means is that. These young shortages you're getting you're starting demand is rising again because there's so much scientific Greece has generally retailers all around the world and in Armenia and in China wants -- England that are yeah itself and for Pittsburgh and the problem was the governments and okay well. The way they dismantle the firms not only get get rid of the stuff at below market prices but Dallas that once you get rid of -- to pay off the debt. We'll stop getting rid of the stuff and so because the prices so low it it. Discouraged anyone from. Building. New alien plants right what that means that he would have had gone in it would have been like this week of October and -- basically yeah you would have shut down all of this government third of the lies lies and affairs -- it disappeared there have been no other replied so so so what are they doing adamantly at a fixed now everything I actually -- we can't do that because that would be big. But -- it's I don't know -- it -- -- that and keep on going in the end. More importantly they're gonna start I'm making is that the price of the healing in the days. Put on the market to more market yet now we hear about stockpiles usually in terms of book. Oil reserves of such what does this say about the bigger picture whether it's a Smart they needed to stockpiled outlets stockpiles is the they've they've got lots of problems. It's we saw that in the we had the -- Maples here heights in Canada recently writer Tom and that was last year yes exit tens of millions of -- here with stolen. Announcing any -- valuable stuff and when there it's there so it's hard to secure there's the other problem is you know when you actually put stuff -- the stockpile for the oil for example -- last President Bush sounds -- I'm putting oil and those -- even though Arnold when I was I suppose it really really high president. Now and so that is best you know so it's not necessarily -- ID even to sort of safer rainy day. -- sort of keep things on the market keep the market priced its line of hand going into pro network as it is really appealing intellectually -- -- ultimate in in practice an intimate court out. Okay we're gonna leave that there that's of interest thing and the big complex story in the meantime stay tuned for all more breaking news tomorrow.

Breakingviews: Deflating strategic reserves

Monday, Sep 30, 2013 - 03:25

Most Popular »

Money »

Apple hits $100 a share Apple hits $100 a share

Tue, Aug 19, 2014 - (2:06)

Nasdaq closes at 14-year high Nasdaq closes at 14-year high

Mon, Aug 18, 2014 - (2:23)

Putin puts Wall Street in buying mood Putin puts Wall Street in buying mood

Thu, Aug 14, 2014 - (2:10)

We've become a promotional culture-RetailMeNot's Bodge We've become a promotional...

Thu, Aug 14, 2014 - (4:39)

Dow back to positive territory for year Dow back to positive territory for year

Wed, Aug 13, 2014 - (2:18)

Markets cheer Russia's Ukraine exit Markets cheer Russia's Ukraine exit

Fri, Aug 08, 2014 - (1:50)

Russia, Iraq push Dow to three-month low Russia, Iraq push Dow to three-month low

Thu, Aug 07, 2014 - (2:27)

Wall Street gains but telecom disconnected Wall Street gains but telecom disconnected

Wed, Aug 06, 2014 - (2:28)

Stocks zapped by energy weakness Stocks zapped by energy weakness

Tue, Aug 05, 2014 - (2:46)

Stocks recover with refocus on earnings Stocks recover with refocus on earnings

Mon, Aug 04, 2014 - (2:19)

The S&P 500 suffers worst week in 2 years The S&P 500 suffers worst week in 2 years

Fri, Aug 01, 2014 - (2:41)

The Exchange »

The Exchange: Hot commodity The Exchange: Hot commodity

Wed, Jul 16, 2014 - (9:25)

The Exchange: Constitutional crusade The Exchange: Constitutional crusade

Wed, Jun 25, 2014 - (11:35)

The Exchange: The value of money The Exchange: The value of money

Mon, Jun 02, 2014 - (9:53)

The Exchange: China’s Second Continent The Exchange: China’s Second Continent

Tue, May 27, 2014 - (9:35)

The Exchange: A master of business arts The Exchange: A master of business arts

Thu, May 08, 2014 - (8:24)

The Exchange: America's bankrupt cities The Exchange: America's bankrupt cities

Mon, May 05, 2014 - (8:52)

The Exchange: Let the rocking commence The Exchange: Let the rocking commence

Tue, Apr 08, 2014 - (8:13)

The Exchange: The Moneyball fallacies The Exchange: The Moneyball fallacies

Mon, Mar 24, 2014 - (9:54)

Is doing good a good business? Is doing good a good business?

Mon, Mar 17, 2014 - (7:38)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, Feb 19, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, Jan 10, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, Aug 29, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, Aug 29, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, Aug 05, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, Dec 17, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sat, Dec 08, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Sun, Dec 09, 2012 - (10:39)

Moving Pictures »

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, Aug 11, 2014 - (2:27)

Burned memories Burned memories

Fri, Aug 08, 2014 - (3:02)

Images of July Images of July

Thu, Jul 31, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, Jul 11, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Wed, Jul 02, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, Jun 20, 2014 - (3:04)

World Cup: Around the globe in 50 goals World Cup: Around the globe in 50 goals

Fri, Jun 06, 2014 - (1:08)

VIVID – Sydney’s spectacle of light VIVID – Sydney’s spectacle of light

Fri, May 30, 2014 - (1:37)

The week that changed Boston The week that changed Boston

Mon, Apr 14, 2014 - (3:28)