The future is looking brightOil has been going up and up since its low point. Today it reached $40 a barrel. Also today, Saudi Arabia and Russia agreed to extend their oil cut backs. Saudi can produce oil profitably at $21 a barrel, but they need oil to be priced at $100 a barrel in order to fund their social polices that give their citizens low priced goods. Otherwise the population would revolt and overthrow them. So they are desparate to have oils price to continue rising.
And today Marathon Oil's quarterly report was released. It was very positive. It was know that it was going to be positive, and MRO's price has been edging up for days now, but today's report actually confirmed what analysts had projected. MRO's costs are way down, well over a billion dollars, and below analysts estimates. The company confirms that the dividend WILL be restarted in the future, as well as stock buy backs. Further cost reductions are in the process of being implemented, and these will be continued indefinately, making MRO's future profits higher than was anticipated prior to the changes that COVID-19 induced in the industry and in MRO's new way of looking at how they will proceed from now on.
MRO's future is bright. It's price today is up over a dollar, and still climbing, and yet its price is still down 50% from its pre-COVID-19 price. Even if you buy at today's higher price, you will still make a 100% profit, plus when the dividend is reinstated, you will be getting even more money in the bargain.
Good luck to everyone.