The Audi Super Bowl commercial was awesome.

If you didn’t see it, please go do so right now. I’ve embedded the video below. The commercial was funny the first time I saw it during the game, but as with all things Super Bowl, I was a bit distracted (perhaps it was the 19-month-old boy, high on pizza, bouncing off the walls of my house?).

I watched the spot again today. It’s even awesomer (sic) than I remember.

But apparently, there are some greenies who are offended by Audi’s fun poking.

I agree with Adam on the importance of revamping how we view, produce and use energy, but we shouldn’t take ourselves so seriously that we can’t laugh once in a while. And if you can’t laugh at this ad… that’s a damned shame, because it’s funny as hell.

A less critical, but interesting take on the ad by Grist’s David Roberts is here. He thinks this kind of approach is exactly the way to get to the hordes of people who might not be teetotaling uber greenies, and who may grumble about having to fiddle with a recycling bin every week, but who, on most days, want to do the right thing and do.

All that said, Audi’s TDI — clean diesel — is pretty cool and it’s a technology we should embrace in the U.S. (C’mon, GM) Although I’m sure Audi’s TDI vehicles are prone to some of the same electronic dependability issues that plague its other cool cars. Why can’t Audis run like Subarus? Sigh.

Anyway, here’s the spot. Congrats to Audi for winning, in my book, the Super Bowl Ad of the Year Award:

Posted in Uncategorized | Leave a comment

Unsurprisingly, gas prices headed back up.

They’re well past $3 in Chicago now; heading there across most of the country now. This January rise is the same pattern we saw in 2008. Not sure if we’ll get back to those 2008 heights ($4.50 per gallon) this year, but it’s possible if the economy holds up — far from a given.

AP: Heading past $3 across the country.

The real question is when will we start to see American government start to be proactive? I’m talking about density planning, mass transit, and, gasp!, more gasoline taxes. Instead we get more roads, more roads, more roads. More roads for less people going less places. Road work as stimulus… disappointing.

Some unpopular decisions will have to be made for the U.S. to get back out ahead of the world. Will we see such decisions from pandering politicians? I’m not sure that we will until change becomes harder than it should be.

Posted in Uncategorized | Leave a comment

New “old” story in WSJ today, highlighting oil companies’ efforts to score big finds in deep water.

The article once again recounts BP’s GIANT find in the Gulf from last fall. Never mind the fact that of those 3 billion barrels, only 1 billion are recoverable and that, ultimately, 1 billion barrels, while they may be worth $80 billion, is only enough oil to last the U.S. about seven weeks.

The article gets better, however. I leave you with this, courtesy of the WSJ:

The discoveries come as many of the giant oil fields of the past century are beginning to dry up, and as some experts are warning that global oil production could soon reach a peak and begin to decline. The new deepwater fields represent a huge and largely untapped source of oil, which could help ease fears that the world won’t be able to meet demand for energy, which is expected to grow rapidly in coming years.

For oil companies, the discoveries mean something more: After a decade of retreat, large Western energy companies are taking back the lead in the quest to find oil. “A lot of people can get the very easy oil,” says George Kirkland, Chevron’s vice chairman. “There’s just not a lot of it left.”

Posted in Uncategorized | Leave a comment

Oh, dear. Pity the oil lobby and its “facts.”

Good story in the Times today. Boils down to this: The federal government wants more money and more oversight on oil and gas drilling in public lands out West. Makes sense to me. It’s been well-reported that the Bush administration gave drilling companies copious rights at bargain prices while undervaluing oil and gas resources owned by the American people.

American Petroleum Institute’s president, Jack Gerard, makes an appearance in the article. He said the decision by the Interior Department was a setback for the economy. I’m not sure about that. It might be a setback, however, for some of API’s members who have grown used to sucking oil out of places such as Colorado and Wyoming and paying next to nothing in royalties.

Next Gerard cleverly misuses a fact to try and illustrate how the Obama administration has been starving the American people of home-grown energy. According to the Times, Gerard says “that federal revenue from oil and gas leases in the region known as the intermountain West had fallen by more than 80 percent” during 2009.

That might be true. But he failed to cite the fact that the price of oil in 2009 was basically HALF of what it was in 2008. So there’s a 50% drop right there. Add in the fact that demand and consumption is WAY down in the U.S. since the spring of 2008 and, whoa, there you have your 80% drop. (The oil and gas fields of the Mountain West will be some of the first to shut off when demand drops as their production costs tend to be quite a bit higher than those in Alaska and Texas.)

Nice use of a “fact” by the API. Too bad it came with none of the relevant context.

Posted in Uncategorized | Leave a comment

What does orange juice have in common with oil?

Not a whole lot, really, except that both commodities owe their existence to the amazing properties of solar power. One product, oranges, manifests after a short growing season and the other, oil, takes several hundred thousand years longer…

But it’s also interesting that the prices for both staples swing higher on the news of extreme cold across the country. I live in Chicago. This winter has arrived with a fierceness that I don’t recall seeing for years. The orchard farmers of Florida are seeing the same thing (albeit at temperatures 40 degrees warmer than Chicago’s). New England and the West, same thing. So the price of oil has jumped to more than $83 this week as people’s furnaces burn more natural gas and heating oil from Dallas to Maine.

And the price of orange juice futures, on fears some of the crop could be lost to frost, jumped to $1.50 per pound today, the highest level in two years. Today’s oil price, incidentally, is the highest since October 2008.

So high oil — in the winter — means high orange juice? Perhaps it does. But what does this mean? Not a whole lot, I suppose, unless you’re an inflation hedger.

More interestingly — is there a way to play statistical arbitrage between these markets? I can’t imagine the orange juice market is as efficient as the oil market. Or perhaps I have that reversed? Clearly, I’m no quant.

If I were, I’d be working on my orange juice-oil algorithm right now and preparing to print money. My shingle: OJ-Petrol Traders.

Posted in Uncategorized | Leave a comment

Iranian soldiers allegedly go into Iraq, occupy oilfield. Oil spikes $2. Mahmoud? Or is it Goldman?!

Interesting.

Iranian troops go into Iraq, occupy a giant oil field. Then they leave. The price of oil predictably shoots up for much of the day in the U.S. before falling back, though it was still up 60 cents on the day.

Has ol’ Mahmoud Ahmadinejad become a canny manipulator of commodities markets?  Or are his talents still limited to wearing strangely casual Western sport coats and cracking unbelievable rhetoric?

Or — perhaps even more sinister — has Goldman Sachs figured out a way to control battalions of Iranian troops?   A-ha!

Quick, who knows if Lloyd Blankfein speaks Farsi?

Posted in Uncategorized | Leave a comment

Bloomberg today named $20 Per Gallon one of the 10 Best Books of the Year.

Very exciting! Nice momentum for the new year.

Posted in Uncategorized | Leave a comment

Boeing 787 gets off the ground this morning; 25,000 plane geeks showed up.

I remember standing inside the body of the first 787 on the assembly line in May 2008. They told me it would fly later that year — and that was after Boeing had already pushed the schedule back three times.

Regardless, today’s news is exactly what Boeing needed. This is the first plastic plane to put together by one of the two big commerical airline makers (Airbus) and it’s the largest advance in fuel efficiency for large jets in decades. Boeing, I’m sure, is watching their gas tanks closely to see if their predicted fuel efficiency gains of 20% will stand up.

For the travelers among us, let’s hope they do. And it wouldn’t hurt me to make this Forbes magazine article seem a bit more prescient.

Posted in Uncategorized | Leave a comment

Exacerbating a trend, the recession has blunted U.S. innovation.

There are countless things this recession has affected, most of them obvious.  And while this particular effect may not be unexpected, it’s yet another reminder that the U.S., for reasons that go from a weakening education system to a tougher stance toward immigrating graduate students, has slipped in the innovation department.  Are we still the preeminent innovation force in the world?  Yes.  But if we weren’t, we’d be on our way to the third world.  So maintaining our vigor here should be something at fore of all our leaders’ minds.

Patents filed in the U.S. this year have fallen 2.3% to 485,000, according to the patent office.  What’s worse, patents issued to foreign firms rose 6.3%.  This could be the beginning of a spiraling trend.  Let’s hope it’s not and that’s it’s merely an effect of what has been a battering period of economic retraction in the U.S.

CNN story on 2009 patent drop.

Posted in Uncategorized | Leave a comment

In going after student journalists, Chicago state’s attorney behaves like a typical Chicago politician: arrogant, indignant and childish.

I don’t usually write on these matters, but this issue deserves all the attention it can garner, including the very modest contribution I can make here.

Bravo to the New York Times for giving this subject the attention it deserves. In the Times’ business section today, David Carr rounds up the situation in Cook County, Illinois, where the state’s attorney, who apparently has had enough of students exonerating ill-convicted death row inmates, has brought the full weight of her office to bear on the students, their professors and Northwestern University’s Medill School of Journalism.

I went to Medill myself.  But that is of no issue here.

What is going on here is hackneyed, Chicago-style intimidation.

Since the mid 1990s, the Innocence Project at Medill has exonerated 11 incarcerated people.  Five of those people were on death row.  Medill students are currently working on the case of Anthony McKinney, who was convicted of a 2004 murder that, according to piles of evidence the students have uncovered, he may not have committed.  Wrongful murder convictions, of course, are nothing new in Illinois, where dozens of cases have been overturned in addition to the cases Medill has misproven.  Things got so bad former Illinois governor and pro-capital punishment man George Ryan, who himself now resides in jail, suspended Illinois’ death penalty in 2000 because Illinois’ system was, he said, “deeply flawed.”

Medill’s progress on the McKinney case is just the latest dollop in a history of botched convictions and, of course, NU students’ own history of digging deeper than Cook County prosecutors.  For this latest case, the Center on Wrongful Convictions at Northwestern’s law school has filed for a hearing based on the new evidence on McKinney’s behalf.

This development brought Anita Alvarez, who was elected Cook County State’s Attorney a year ago, lurching to action.  Alvarez has drawn a line.  It’s a line that says, “Don’t play in my sandbox.  Don’t exonerate innocent people.  Don’t make me look bad.  Prosecutors will do the prosecuting, truth be damned.”

The county has subpoenaed everything it can possibly think of when it comes to the students involved in this case.  They want notebooks, emails, tapes, class materials, syllabi, tests, papers, assignments, homework. They even want report cards — report cards that might show a grade-derived motivation to find evidence that shows innocence.  And, by the way, what of the motivation?  If there’s trenchant new evidence, there’s trenchant new evidence.  What does it matter if the students were drawing a grade?  As if there isn’t motivation and pressure within the state’s attorney’s office to convict, convict, convict.

Alvarez clearly has had enough of meddling students who drive down death row conviction rates for her squad — not to mention the ugly publicity that comes with every overturned case.  So she’s dumping these students’ and professors’ lives on their heads in what’s tantamount to a legal shakedown.  Outsiders aren’t welcome in the justice process, apparently.  She thinks she can cow, frighten and outmaneuver a group of journalism students by filing copious and intrusive subpoenas.  Perhaps if she makes an example of this group, she thinks, the next group will be more reticent before it starts digging into one of her cases.  What she wants to precipitate, quite simply: for Medill to stay out of the County’s justice process.

Let’s hope Northwestern fights this bully with both fists.  Let’s hope the clarity of justice wins out over the murky entitlements of Cook County politics.  Let’s hope Alvarez and her cronies — Mr. Todd Stroger and others — learn that indignance has no place in governance but that transparency and accountability do.

Thank you, Medill.  And thank you, David Carr and the New York Times.

Posted in Uncategorized | Leave a comment