RE:RE:RE:RE:RE:RE:RE:RE:TD's Upgrading to ACTION LIST BUY from Buy; Q2/21 Results autofocus111 wrote: malx1 BEI traded below NAV even before the 2014/15 oil bust. It's why I bought it in the first place. I would love nothing more than to see oil trading at $80 WTI. Long CVE, SU, and OVV, and perfectly happy with WTI at $60+. Not nearly as confident as you about a sustained move to the $80 mark. CV19 is not going away and that will be a sustained overhang on oil demand growth esp. air travel for a long time to come. AB may continue to produce at current levels but I don't see a boom in RE happening there.
Net migration of province will spike back up as ecnomomy improves. Housing affordability will also be a key driver.
https://economicdashboard.alberta.ca/NetMigration#alberta While Alberta has very little impact on the price of oil, their economy lives and dies by the price of oil. So one must reflect on both the demand for oil as well as supply. In your analysis, you mention demand but I believe the real story untold is supply. Study capex of major producers, look at the impact of the ESG narrative, look at the health of US shale and get an understanding of capital-starved E&P co's stretched balance sheets. The world is sleep-walking into an energy crisis.
News today: concerns about future supply and dwindling inventories
We are setting up for $80wti avg while the specter of supply disruptions is ready to push prices far beyond the avg.