We are speculators and what is normal common sense doesn't...

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Devilmaycare

3,973 Posts.

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05/08/20

19:52

Post #: 46330014
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Originally posted by Teddyward: ↑

Which stocks and what countries do they have interests in . Interesting approach and wondering if you are going country diverse or specifically targeting a couple that will be "safe"from war but get benefit of increased oil price.

I am unsure these days just what sort or conflict and where it would be to change world oil price,, Obviously Middle East historically but lot od other supply is available. Gas from Russia etc if unable to export or for internal use would send gas skyrocketing but there is limited storage and shipping available . uSA would they just turn back on oil sands regardless of cost? Fast track Alaska .

IS PNG secure from major conflict or would China , Indonesia just stroll on in and which countries would kick em out? Nothing is easy or simply in games involving physical conflict.

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We are speculators and what is normal common sense doesn't always follow with what Mr market does.
Google tells me this " Wars typically increase demand (militaries need a lot of energy) and threaten supply (shipping oil becomes more dangerous, and access to oil fields is limited). The results of higher demand combined with limited supply is almost always higher prices.".
Prior to the oil price war, WTi was approx $50 a barrel US, so i am expecting oil at some point to get back to $50 a barrel.
Gold just hit a $2000 a ounce (all time high) and Iron ore is $108 a tonne, high to long term prices.
IMHO, we are in a commodities super cycle, because China are back in production and the US chose to not shut down. Wonder why???
I am expecting in the current climate for oil to catch up because its my opinion AND OSH to benefit.
DYOR

OSH Price at posting: $2.98 Sentiment: Buy Disclosure: Held
4 Upvote

0 Great analysis

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