Who is watching the oil price falling down?
Remember when Paal told you - The worst is behind us - well it shows his ignorance yet again....
4 replies (most recent on top)
No one can predict oil prices or mkt. Paal is just comforting Stk holders and his board. The recent drop is an attention grabber and will stall the rise in rig count that we're seeing and bring a new slew of layoffs. The main culprit for the oil price drop leads to one thing - US Feds printing money like crazy. When the US Dollar rises the price of Oil falls. And oh boy their going to keep the printing machines hot. This isn't a supply/demand scenario anymore, our Politicians are trying so desperately to spark a economic rise by manipulating low fuel costs. Interesting thing is the extra $$ is paying debt and going into savings accts. because people are very optimistic and feel tough times and high fuel cost will return. Which it will!
Paaly the cracker just doesn't get it . In the age of easy influx capital .. it's no longer a supply demand issue driving oil price. You old folks here listen , it's about the capital being injected to current producing wells pumping out oil in overdrive. Barrier of entry real low to make quick buck even at $40 oil
The sad fact is that no one knows what the price of oil will do. Not the CEO of SLB or any other service company. Not the CEO of any of the major oil producers. Not any of the governments of oil producing nations. It is just a toss up and there are too many variables that impact the price. They can all only make a guess. Your guess is probably just as good as anyone else's.
Paal is only trying to rally the stock price with his predictions, he is only guessing.