Suncor Energy Inc T.SU

RE:RE:SU Holders - Some things to think about

[Experienced]

Chad123 wrote:

Experienced wrote: Right now, WTI is up about 8% and the DOW futures are down over 800 points or about 2.5%. The markets in Germany and France are down about 5%.<br /> <br /> We will see how this balances out fpr the SP of SU when the markets open, but the market percentages would suggest that the SP of SU will be higher at the open. &nbsp;Which way the market goes for the rest of the day is anybody&#39;s guess.<br /> <br /> All that said, the jump in the WTI price IMO is an emotional reaction, &nbsp;There is nothing going on resulting from the Russian invasion of The Ukraine that will change the energy supply numbers in North America in the short run and if anything, higher prices will stimulate even more production. &nbsp;Unless there is some sort of change in the energy demand numbers in North America and IMO in the short run, there is no reason to suggest that that will change in the short run, the supply/demand balance would suggest that there is no fundamantal reason for the WTI price to go up in the short run. &nbsp;Any increase is purely an emotional reaction to the pundits&#39; narrative and manipulative by the denizens of The Street. &nbsp;It is not backed by fundamentals.<br /> <br /> If this situation does persist somehow then the inflation numbers will go up prompting a larger increase in interest rates next month at The Fed meeting and this will result in further declines in asset prices.<br /> <br /> With all this in mind, IIMO people here who hold SU need to look at their financial situation in conjunction with their investment strategy and look at the possibility of taking profits on their SU holdings and buying back after the dust settles on the Ukrainian situation. &nbsp;This is especially true if the SP of SU pops at the opening this morning.<br /> <br /> Comment/reactions are always welcome.

<br /> <br /> Good post.<br /> What I will be waiting for are the next round of sanctions which should come later on today.<br /> What will drive prices higher later on is if Putin or the sanctions causes Russia to withhold supply. This could be the shock that pushes oil up to $125-$150.<br /> Regardless of the price, what is the US going to do to combat higher oil prices? Release more barrels? Probably. Will it turn to its big players and allow them to drill baby drill? Wouldn&#39;t matter because they don&#39;t have spare capacity.<br /> The only way they can hope to fix the problem in the short run is to bend over to SA. Now Bidens pretty old and his hole has been greased but this will not look good to those climate change freaks however what will SA do? They literally are the only ones with spare capacity. Will they break from OPEC?<br /> Like you said......Interesting times.<br /> I think that we are living in a world where lines are being redrawn on maps. Russia wants back the old Soviet Union, China wants Taiwan. What will the ME do?<br /> As for inflation, well looks like the Fed was late, like most people were stating. Do they stay late and kick the can down the road? Might as well. Either that or go into a recession.. Pretty sure they don&#39;t want to go there yet.<br /> One last thing.....<br /> Now we know why Trudeau revoked the emergencies act.<br /> <br /> As for oil stocks...<br /> I own lots of SU, MEG, CVE and CPG. When I say own, I mean own, not options or margins. I also have a bit of financials and real estate stocks.<br /> I have a ton of cash so looking to deploy some of it on bargains in the future. No ideas yet.<br /> Just my opinions and....<br /> GLTA

Good Post!!

IMO I would very much doubt that at least in the short run that Russia would cut off oil supply to Europe for a couple of reasons...

1....they need the cash to finance the war

2....with sanctions on sovereign debt such an action would be like shooting themselves in the foot