chakoo Posted April 20, 2020 Share Posted April 20, 2020 3 minutes ago, Emperor Diocletian II said: It's worth noting that the June WTI contract is trading at $21/barrel, the July WTI contract is trading at $27/barrel, and so on. For now, I think there is a good chance June will start to drop/tank this week becauses of today and people wanting to get out early. Quote Link to comment Share on other sites More sharing options...
elbobo Posted April 20, 2020 Share Posted April 20, 2020 4 minutes ago, Emperor Diocletian II said: It's worth noting that the June WTI contract is trading at $21/barrel, the July WTI contract is trading at $27/barrel, and so on. I think US producers need it to be $30+ to be remotely profitable Quote Link to comment Share on other sites More sharing options...
Guest Posted April 20, 2020 Share Posted April 20, 2020 3 minutes ago, Emperor Diocletian II said: It's worth noting that the June WTI contract is trading at $21/barrel, the July WTI contract is trading at $27/barrel, and so on. Problem is that a lot of smaller outfits can’t handle a month of oil glut like this, and the falling domino effects are brutal if that happens. Majors will be fine. Quote Link to comment Share on other sites More sharing options...
Zaku3 Posted April 20, 2020 Share Posted April 20, 2020 12 minutes ago, Spawn_of_Apathy said: Good news. Crude is -$37.40 Im gonna get rich taking oil from companies. Same. Quote Link to comment Share on other sites More sharing options...
CitizenVectron Posted April 20, 2020 Share Posted April 20, 2020 14 minutes ago, sblfilms said: Problem is that a lot of smaller outfits can’t handle a month of oil glut like this, and the falling domino effects are brutal if that happens. Majors will be fine. I think that generally applies to most industries. Assuming that the government doesn't step in and majorly save individuals and small businesses, we are going to see a massive accumulation of market share and wealth by the biggest companies that can afford to weather this. Quote Link to comment Share on other sites More sharing options...
Jason Posted April 20, 2020 Author Share Posted April 20, 2020 3 Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 20, 2020 Share Posted April 20, 2020 24 minutes ago, elbobo said: I think US producers need it to be $30+ to be remotely profitable 24 minutes ago, sblfilms said: Problem is that a lot of smaller outfits can’t handle a month of oil glut like this, and the falling domino effects are brutal if that happens. Majors will be fine. The recent Saudi Arabia-Russia oil war pretty much had as an unstated goal the elimination of the market viability of the smaller American producers and their eventual acquisition/consolidation by the majors with whom Riyadh and Moscow have long-standing relationships. Quote Link to comment Share on other sites More sharing options...
Commodore D Posted April 20, 2020 Share Posted April 20, 2020 2 hours ago, sblfilms said: I’m gonna buy barrels and store them in my back yard for a few years at this rate... Said that to my buddy a few minutes ago. Quote Link to comment Share on other sites More sharing options...
CastlevaniaNut18 Posted April 20, 2020 Share Posted April 20, 2020 I was at half a tank in my tuck yesterday I and filled up at Sam's for $1.28. Wonder what it is now. Quote Link to comment Share on other sites More sharing options...
Jason Posted April 20, 2020 Author Share Posted April 20, 2020 31 minutes ago, Jason said: 1 Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 20, 2020 Share Posted April 20, 2020 6 minutes ago, CastlevaniaNut18 said: I was at half a tank in my tuck yesterday I and filled up at Sam's for $1.28. Wonder what it is now. It should be the same as this event will impact the gasoline deliveries for May. Quote Link to comment Share on other sites More sharing options...
Chris- Posted April 20, 2020 Share Posted April 20, 2020 Doesn’t trading volume matter as well? It’s not like the drop in demand came out of nowhere. Surely a lot of distributors diminished the amount of contracts they were buying. I can’t imagine that many places got caught with their pants down. Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 20, 2020 Share Posted April 20, 2020 7 minutes ago, Chris- said: Doesn’t trading volume matter as well? It’s not like the drop in demand came out of nowhere. Surely a lot of distributors diminished the amount of contracts they were buying. I can’t imagine that many places got caught with their pants down. Oh sure - trading volume would magnify the impact of major price moves. This was just a really, really weird anomaly exacerbated by the expiration of the May contracts. Quote Link to comment Share on other sites More sharing options...
Guest Posted April 20, 2020 Share Posted April 20, 2020 Demand drop isn’t the issue in and of itself, there just isn’t anywhere to store the oil given the rates at which refiners are actually taking up the product. Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 20, 2020 Share Posted April 20, 2020 45 minutes ago, sblfilms said: Demand drop isn’t the issue in and of itself, there just isn’t anywhere to store the oil given the rates at which refiners are actually taking up the product. The reason why Brent crude isn't having the same storage capacity issue is because the supertankers can be used as floating storage tanks in the North Sea as the distance from the terminal to the water is 500 meters. Quote Link to comment Share on other sites More sharing options...
Amazatron Posted April 20, 2020 Share Posted April 20, 2020 22 minutes ago, Emperor Diocletian II said: The reason why Brent crude isn't having the same storage capacity issue is because the supertankers can be used as floating storage tanks in the North Sea as the distance from the terminal to the water is 500 meters. Carnival, get in on it! Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 20, 2020 Share Posted April 20, 2020 1 4 Quote Link to comment Share on other sites More sharing options...
Chairslinger Posted April 20, 2020 Share Posted April 20, 2020 3 minutes ago, Emperor Diocletian II said: I was thinking about how many of my bodily fluids are currently worth more than oil.... Quote Link to comment Share on other sites More sharing options...
Spawn_of_Apathy Posted April 20, 2020 Share Posted April 20, 2020 16 minutes ago, Chairslinger said: I was thinking about how many of my bodily fluids are currently worth more than oil.... None of them. But that’s just you. Quote Link to comment Share on other sites More sharing options...
SuperSpreader Posted April 20, 2020 Share Posted April 20, 2020 Disney is so broke https://www.nbcnews.com/news/us-news/disney-furloughs-100-000-theme-park-hotel-workers-amid-coronavirus-n1188236 Quote Link to comment Share on other sites More sharing options...
Guest Posted April 20, 2020 Share Posted April 20, 2020 12 minutes ago, SlipperySlope said: Disney is so broke https://www.nbcnews.com/news/us-news/disney-furloughs-100-000-theme-park-hotel-workers-amid-coronavirus-n1188236 $275/week is the MAX UEB in Florida? Even my 20/hr a week ASM gets more than that in Texas... Quote Link to comment Share on other sites More sharing options...
Spawn_of_Apathy Posted April 20, 2020 Share Posted April 20, 2020 53 minutes ago, SlipperySlope said: Disney is so broke https://www.nbcnews.com/news/us-news/disney-furloughs-100-000-theme-park-hotel-workers-amid-coronavirus-n1188236 Well, yeah! They haven’t had a billion dollar movie since last year. Mouse gotta eat. Quote Link to comment Share on other sites More sharing options...
marioandsonic Posted April 21, 2020 Share Posted April 21, 2020 So, since I think we can all assume that oil prices will rise again, how does one invest in oil? Quote Link to comment Share on other sites More sharing options...
Spawn_of_Apathy Posted April 21, 2020 Share Posted April 21, 2020 29 minutes ago, marioandsonic said: So, since I think we can all assume that oil prices will rise again, how does one invest in oil? Buy stock in oil companies. Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 21, 2020 Share Posted April 21, 2020 1 hour ago, marioandsonic said: So, since I think we can all assume that oil prices will rise again, how does one invest in oil? You can either purchase the stocks of individual petrochemical companies (don't do this) or invest in mutual funds/exchange-traded funds that specialize in the energy sector (do this). Quote Link to comment Share on other sites More sharing options...
Jason Posted April 21, 2020 Author Share Posted April 21, 2020 7 hours ago, Jason said: I know there's the whole demand for flying issue right now, but shouldn't airline stocks be going up if oil is tanking? Still curious about this. Is today's insanity just too fleeting to have a perceptible effect on airline stocks? Quote Link to comment Share on other sites More sharing options...
Jason Posted April 21, 2020 Author Share Posted April 21, 2020 14 minutes ago, Emperor Diocletian II said: You can either purchase the stocks of individual petrochemical companies (don't do this) or invest in mutual funds/exchange-traded funds that specialize in the energy sector (do this). Do you have any recommendations? Quote Link to comment Share on other sites More sharing options...
osxmatt Posted April 21, 2020 Share Posted April 21, 2020 Quote Link to comment Share on other sites More sharing options...
Jason Posted April 21, 2020 Author Share Posted April 21, 2020 Quote Link to comment Share on other sites More sharing options...
Guest Posted April 21, 2020 Share Posted April 21, 2020 June is likely going to have to same storage crunch happen from what my Oil and Gas friends are saying. Quote Link to comment Share on other sites More sharing options...
Joe Posted April 21, 2020 Share Posted April 21, 2020 12 hours ago, Jason said: Do you have any recommendations? Seconded. Also, ETF's would be preferable because of their tax treatment. Quote Link to comment Share on other sites More sharing options...
Commissar SFLUFAN Posted April 21, 2020 Share Posted April 21, 2020 26 minutes ago, sblfilms said: June is likely going to have to same storage crunch happen from what my Oil and Gas friends are saying. The June WTI contract is down 27% to $15/barrel. Quote Link to comment Share on other sites More sharing options...
Guest Posted April 21, 2020 Share Posted April 21, 2020 38 minutes ago, Jose said: Seconded. Also, ETF's would be preferable because of their tax treatment. USO and UCO, gonna be hard to buy the bottom but likely a decent buy and hold for 24-36 months kinda deal. Quote Link to comment Share on other sites More sharing options...
CitizenVectron Posted April 21, 2020 Share Posted April 21, 2020 Plagues and rich people being assholes go hand in hand, apparently: Quote Link to comment Share on other sites More sharing options...
CitizenVectron Posted April 21, 2020 Share Posted April 21, 2020 Re-open golf courses, Republican rich people demand in NJ Quote Link to comment Share on other sites More sharing options...
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