Price of OilOne more before I start work for the day... I love it when people call for $60 WTI because it's such a shortsighted argument. The world is severely strained from a supply standpoint and all that would do is dry up future development funding and exacerbate an energy crisis already in the making. This would all but guarantee higher-for-longer commodity prices, which will translate into years of sustained above-average profits for E&Ps. And remember that during long-term energy system transitions, commodity prices go out at all-time highs as investment fades, just as we're seeing right now with coal.
And history has shown that energy demand is relatively inelastic during recessionary periods because people need to heat their homes and live their lives. We're already in a recession and will most-likely be pulling out of it in early-to-mid 2023. It's a normal part of the ongoing economic cycle and actually not that big a deal.
So, in my opinion, look at the big picture. Long-term energy investors have a lot to be excited about, especially with Canadian producers in the sweet spot in terms of foreign exchange, geopolitical stability, environmental performance, human rights and improving access to global markets.
Cheers and GLTA ARX longs.