Post by
iwpete on Nov 22, 2023 2:22pm
the problem with oil
really doesn't have anything to do with oil E&Ps.
Step back from oil and natgas for a minute. Five years ago the mortgage rate was 1.9%. Well, the amortization period for all those mortgages (when amortized over the max 5yr period) that were sold back then are coming up for renewal. But at what interest rate 2.5X, 3X more than before. If you're already paying $2000 a month mortgage you could be looking at a $6000 a month mortgage. What are the banks going to do? Have a Black Friday Sale on interest rates. The SHTF in the first qtr of next year, for real. And I don't think anybody knows what to do about it.
But you will have choices. Like eat or not to eat. Heat the house or not heat the house. Throw the keys in the open door, walk away and move into the parent’s basement.
I have cash and natgas stocks and am willing to wait for LNG Canada to go live.
I wish the best for everybody.
GLTA