As Wall eluded to , this market has gone almost straight up since the March 2009 lows. Hardly a 10% correction to speak of, and when it has closely occurred, the market snaps right back up. Very difficult for folks who have been waiting for an entry point, so they just buy in at any price now.
An amazing stat that came out recently ; Since the October shock of just last month , the market has traded above its 5-day moving average for some 30 days in a row.
That hasn't happened since the 1920's !!
Is OPEC really trying to crush shale production or is this the excuse they are using to avoid saying they are trying to crush Russia.
My view is that the USA eventually wants to take Russia business of supplying the EU with gas. It may take 10 years to get LNG projects set up and terminals built but this is their goal.
If OPEC thinks this will slow down the US I have bad news for them.
Is OPEC really trying to crush shale production or is this the excuse they are using to avoid saying they are trying to crush Russia.
My view is that the USA eventually wants to take Russia business of supplying the EU with gas. It may take 10 years to get LNG projects set up and terminals built but this is their goal.
If OPEC thinks this will slow down the US I have bad news for them.
The drop in oil prices should be a net positive for the U.S economy, as Sashimi eluded to . Remember folks, 2/3 of the U.S. economy is based on consumer spending. Sure the drillers will get hurt, but this should be more than offset by the extra money that consumers have in their wallets and spend.
Those countries most effected by the drop in oil prices will be the emerging countries ; (Russia, Venezuela, Mexico, Nigeria, Brazil, ...pick your least favorite Middle East country, etc. ) you get the picture.....
Established in 1995,
Hot Forum Topics
