Thursday, April 25, 2024
I continue to love the sector Wall Street seems to hate: energy. Analysts are saying oil has peaked and bad times are directly ahead for the sector. I believe that oil markets are more fragile than the recent price decline might signal. The same factors that sent energy prices higher over the past year remain […]
At the moment the oil market at the moment is much like the famous quote from the beginning of “A Tale of Two Cities.” It is a tale of two markets: the futures market for oil (controlled by Wall Street) and the physical market, which reflects the real-world demand for oil. Both factor in many […]
The ongoing global oil shortage has triggered President Joe Biden’s call to shale producers to spend more of their profits on increasing output. But shale firms have been under pressure from shareholders for many years to focus on returns rather than production growth, this has been one of many contributors to the global oil shortage. […]
There has been only one bright spot in what’s turning out to be an annus horribilis for U.S. stocks – the energy sector. The S&P 500 has fallen into a bear market, down more than 20% this year. The benchmark index is on pace for one its worst opening six months since 1970. Historically, there […]
Soaring fuel prices have boosted inflation to a year-over-year increase of 8.6%, the highest level since 1981! And there is more to come: the lack of refining capacity is expected to drive up U.S. gasoline prices by more than a dollar, to $6 a gallon by August as oil and oil related products continue to […]
“Big Oil” is the term used to describe the world’s six largest, publicly-traded oil and natural gas producers—BP, Chevron, Italy’s Eni, ExxonMobil, Shell, and TotalEnergies. Of the Big Oil companies, France’s TotalEnergies (TTE) is perhaps the most interesting of the world’s major oil companies. Here’s why… On the one hand, TotalEnergies has yet fully exit […]
Most of you are surely aware of the headlines blaring that retail gasoline prices in the United States rose again and hit another all-time record, surpassing one set in March. On May 10, the average cost of a retail gallon of gasoline hit $4.374, according to the American Automobile Association, surpassing the former record of […]
Last week, the Biden Administration announced a massive, long-term (up to six months) plan to release a million barrels of crude oil per day out of the Strategic Petroleum Reserve. On that news, the WTI oil price “tumbled” from $108 to $104 per barrel While I don’t think the move will bring energy prices back […]
Dear Investor, Recent global events have made it clear that the world’s economies are a long way off from producing the necessary energy from entirely renewable sources. European countries were too quick to shut down coal and nuclear power plants to focus on wind and solar renewable energy sources. The transition was not close to […]
Europe had already been suffering from low supplies of natural gas this winter, accompanied by higher costs as demand outpaced supply. But now, the invasion of Ukraine by Russia (which had until very recently supplied more than 40% of Europe’s gas imports) has triggered further price increases. With Russian gas out of the picture, European […]
