RE:The cure for high oil prices has always been ...Agreed. i think if WTI/Brent can stay in a range of $70-$80 it would keep shale curtailed, and make current producers good money, i.e. canaidan producers, and of course OPEC, lol.
If oil does remain flat in this range, our beloved stocks may lose some momentum in the short term, but as quarterly reports come out each quarter with giant CF, they will get their due.
Indicator wrote: ... high oil prices (original author unknown).
I don't claim any clear cyrstal ball on the future, but I do know that there are Uber Bulls out there and there are Naysayers and many in between. I take them all with grain of salt :-)
Fesharaki's case is that greed is not gone from financiers of shale - yes they have forced good short term behaviour on shale producers, but his argument remains - if prices keep rising greedy financiers will want into the HUGE JUICY cash flow action and crank up the shale producers. Greede hath no bounds and ESG worries by some bankersexhibiting tender sensitivities will not restrain the rush to massive new, albeit short term profits by shale financiers!
Is Fesharaki correct that Saudi actually wants $75 oil and not higher to keep greed from ramping shale up again, time will tell. One thing is for sure, Pigs get slaughtered and now that the easy money pandemic bounce is over, I'll thank the market for these tasty profits, kee one hand on the exit door and be about a more cautious way forward.
Always enjoy the interesting conversations here ... good luck!