RE:RE:Oil 84 bucks !! I thnik market and investors are looking beyond the short term influence hedges will have. Each day it's being made evidently clear that we're at the beginning of a global structural energy deficit. It's akin to what occurred in the 70s with the OPEC oil embargo and tanker wars (only worse). World banks and governments are stoking (and counting on) hyperinflation to save them. When even CNN is running segments on the need for fossil fuels it's clear what side of the trade investors should be on.
I was expecting a pull back in October with much more talk and jitters of a market crash/correction. Funny thing there was practically no mention of it in the media this year. This was confirmation to me that banks and governments want to raise rates and want higher energy prices. COVID has proven how controlled the global media complex truly is. With zero mention of market correction, it's clear the elites don't want a pull back (resulting in lower rates), rather instead want to push the cost of everything higher. Hard tangible assets that pay dividends is where people should be putting their money.
Personally I think we're on the cusp of an absolute massive tidal wave of investment from tech back into commodities. I wouldn't be surprised to see Canadian E&Ps appreciate 300% to 500% from these levels over the next 12 to 18 months.
BigJoe778 wrote: Wait for the losses incurred due to hedging. I've seen this storybook before when oil prices were significantly higher than the company had forecast and based their projections about on. There's no doubt it's gonna move higher eventually with oil at $85 plus but I wouldn't bank on seeing $7 this week. It's possible but I certainly wouldn't bank on it.