That graph says it all. An extraordinary divergence. I can only...

That graph says it all. An extraordinary divergence. I can only put it down to local sentiment towards WDS being especially poor right now due to activism, hostile political environment etc

Eventually the maths on what these oil prices mean for WDS cashflows/profits and dividends has to bring the buyers in.

Rising oil prices have a dual effect for WDS. The obvious one is the impact on cashflows and the bottom line. The less obvious one is that rising oil prices feed into inflation and therefore decrease the likelihood of these highly expected interest rate decreases. A lot of stocks are carrying lofty valuations in expectation of these interest rate decreases….if this all starts to unravel WDS will benefit from a rotation into less interest rate sensitive sectors like oil and gas.

Oil prices feeding inflation was certainly in the conversation last night on Wall St.

Happy to stay patient on WDS right now - that graph can’t continue to diverge like that for much longer.