As I write this, the price of crude oil is $43.73, down 93 cents. It was $51.60 on October 19. There will be no permanent agreement on a production freeze or cutback among major oil producing countries. Many recent news articles are projecting the price to go close to $40 or the upper $30's. This is definitely not good for future budget planning of oil companies and employment opportunities for those who have lost their jobs.
7 replies (most recent on top)
Everything is starting tomorrow...
Its time to short the stock (again!).
Expect great events within a week or so, you can do nothing at this point, will be huge changes in your live and that of your family
OPEC members cannot control the market anymore. Russia last month increase production by 4%. All of them doing same.
I'm not sure the agreement is possible. We should be ready for price dropping upper 30s.
@ynd - That is an absurd, moronic, and poorly thought-out comment. Check-mate!
@ynd - That is a lucid, intelligent, well thought-out objection. Over ruled!
OP, the drop in oil prices is due to the two largest OPEC members, Saudi Arabia and Yemen, having a swabble. Saudi has threatened to increase daily production by 1 to 2 million barrels per day. There are other geopolitical events going on at the same time that suggest less tightening of oil supply in e near future. If Trump wins next week, prepare for oil prices to dip somemore, because he advocates more drilling in the United States. I'm retired and have no investment in CVX anymore, so cheap oil for me is a good thing, but I hope oil doesn't go down into the 30's. Too cheap is not good either. There needs to be a balance between supply and demand for our Texas and US economies to remain healthy. I would like oil to stay around $55 or $60/barrel.