Tesla to cut thousands of jobs as Elon Musk warns the ‘road ahead is very difficult’
- Thread starter petros
- Start date
Most people should consider mutual funds. Just do it through a bank. Return might be lower but safer than most investment houses.
Pensions dont do pump n dump. They are in for the long haul.
Over the last 20 years and even through 4 crashes, long term investments have returned 7.8%
The best money in the long term is resource ventures. It may take 10-15 years but 10 cent shares become $10 shares that pay very well.
Further Financial Flight from Fossil Fuels
Warren Buffett, the chairman and CEO of Berkshire Hathaway Inc., this weekend lamented the $10 billion investment he pumped into Occidental Petroleum Corp. last April and said he plans to invest more money into wind and solar power.
“If you’re an [Occidental] shareholder or any shareholder in any oil-producing company, you join me in having made a mistake,” he said, referring to negative oil prices late last month that happened as a result of the oversupplied U.S. oil market and collapsing demand (Energywire, April 21).
“It was attractive at oil prices that then prevailed,” Buffett said of Berkshire’s Occidental bet. “It doesn’t work, obviously, at $20 a barrel. It certainly doesn’t work [at] minus $37 a barrel.”
Warren Buffett, the chairman and CEO of Berkshire Hathaway Inc., this weekend lamented the $10 billion investment he pumped into Occidental Petroleum Corp. last April and said he plans to invest more money into wind and solar power.
“If you’re an [Occidental] shareholder or any shareholder in any oil-producing company, you join me in having made a mistake,” he said, referring to negative oil prices late last month that happened as a result of the oversupplied U.S. oil market and collapsing demand (Energywire, April 21).
“It was attractive at oil prices that then prevailed,” Buffett said of Berkshire’s Occidental bet. “It doesn’t work, obviously, at $20 a barrel. It certainly doesn’t work [at] minus $37 a barrel.”
You can bet your ass that Buffett will be allocating some money in oil to take advantage of the rebound... Oil doesn't have to hit $100 or anything but once above $25, most conventional plays will be in positive cash flow territory and the share price will reflect
You do understand that "buying oil" in the commodities market doesn't mean buying a bunch of barrels of oil and keeping them in your garage, right?
Just checking.
Depends.. Are you buying oil on the NYMEX (that's a commodities market) and in theory, if you don't sell, you are expected to take physical possession.
That said, the real question here is: do you really understand?
That said, the real question here is: do you really understand?
Yep. Allow me to demonstrate. . .
1. The price of oil at the moment has little or nothing to do with demand.
2. The price of oil is a tiny fraction of the price of a gallon/litre of gas/petrol at the pump.
3. The "commodities market" as the term is generally used involves the trading of pieces of paper, not commodities. Except insofar as used paper is a commodity. (NB - these days it's generally about the trading of computer files. No paper needed.)
4. The notion of "Canadian oil," "Saudi oil," "Russian oil," "American oil," etc., is about 1/2 of 1% relevant to anything except belligerent assholes who are lying to you.
Well, I will agree with you that you've demonstrated something.
Protip - think twice about posting something in which you have no knowledge
I never post anything except questions in areas where I have little or no knowledge.
Of course, certain individuals whose names may or may not be petros will immediately leap on my questions and accuse me of making statements, apparently unaware of the meaning of that fishhooky-looking thing at the end of the sentence.
your previous post is rife with invalid assumptions. Further, this sector (among many) do not operate in a unidimensional and linear fashion.
As for the statement that the current price has 'nothing to do with demand', you are woefully wrong.. fact is demand has declined while production hasn't and if you care to look, you'll notice that (global) storage is almost at capacity to the tune that companies are chartering ocean going vessels as floating storage (at considerable cost per day).
As for over supply, well, I'll put it this way... When OPEC states that they are adding a few million bbls of production per day, it makes little difference as those few million bbls represent little more than a rounding error in terms of what global production rates actually are.
All of the above can easily be supported via data from the EIA
That said, due to demand destruction (presumably due to covid 19) resulting from many/most major economies shutting down their economies, we are seeing that 'demand' is presently affecting the price of a bbl.
Lastly, while the commodities market is largely a game on paper of transferring ownership of said commodity, ultimately, someone has to take physical possession of that commodity - that's how the game works, so unless you're prepared to either take a (potential) loss on the trade or willing to toodle on down to Cushing to collect your property, you'd best stay away from trading oil on the commodities markets
That’s better.
To summarize, oil won’t have value anytime soon due to demand and production status quo.
I, like you and unlike Hoid agree that the value will rebound in two or three years.
Which one?
Argument by anecdote.
Well, if it's that easy, go for it.
Yep, we had a thunderstorm yesterday because I waved my hand. I mean, I waved my hand, and we had a thunderstorm. No other causes are possible.
[/quote]Lastly, while the commodities market is largely a game on paper of transferring ownership of said commodity, ultimately, someone has to take physical possession of that commodity - that's how the game works, so unless you're prepared to either take a (potential) loss on the trade or willing to toodle on down to Cushing to collect your property, you'd best stay away from trading oil on the commodities markets[/QUOTE]
You show a remarkably sound grasp of the patently obvious. Well done you.