RE:RE:WTI plunges $4 in minutes..WHY???I think the answer to today's wild oil sell off down to 70 bucks is attributable to the jobs report which in turn implies that inflation is still a serious threat and so are subsequent Fed rate hikes.
Any time this potential rate hike happens then oil and gold get hammered. Note that gold is down 55 bucks an ounce today, one of its largest intraday drops in the last year.
Yes indeed, there is unlimited faith in the USA dollar even though technically the country is broke and continues to issue debt that (for now) continues to be bought by those who believe in nothing but the American dollar.
I have said for years that the only way we will see true stock market value for oil shares is when you get a physical shortage resulting from under investment in exploration and development--but so far that has proved to be elusive. Stay patient but true value maybe another 5-10 years in coming. That's just the reality of energy investments in a world where oil has become an offensive term for many people.