RE:RE:I was spot on with OPEC+ irrelevancy and impotency Yep, WTI is now in the teens. People who doubt me aren’t interested in figuring out what is next. People who doubt me take a position and then choose to view the world only in ways that support their position. This is an extremely dangerous trait to have when investing.
Expect further weakness in oil. It’s going to get much more painful. JMHO. GLTA.
WheresMeGold wrote: So will WTI go below $20 tomorrow? Will Brent go below $30? You had talking heads on BNN, CNBC, Bloomberg, etc as late as Sunday saying we would at least have Brent above $40 by now. I warned last week that the OPEC+ agreement would be irrelevant and impotent. I’ve told you all grades will eventually all fall into the teens. Lower grades are already there. WTI may be there tomorrow.
For the many energy companies swimming in debt they must continue to pump. Lower prices for them put them in a negative feedback loop as they need to pump more the lower the price goes. This continues for many until game over. Lenders get to pick at what’s left. Shareholders lose everything.
VET is extremely vulnerable in this environment. And these low oil prices are not a mere blip. These low prices are here for awhile. In fact, today’s prices may be as good as it gets for some time. JMHO. GLTA.
WheresMeGold wrote: No one can reasonably say I was anything other than 100% spot on with the irrelevancy and impotency of the OPEC+ agreement that countries limped into on Sunday. I spelled out how and why it would turn out as it did.
So don’t doubt me when I tell you that global storage capacity will be reached within the next two months. As a result the marketplace will severely crash oil prices of all grades into the teens or lower. VET is extremely vulnerable in this environment.
JMHO. GLTA.