To The Moon

If we take a look at the past 6 months performance of any of the oil (Brent Crude or WTI) stock, the pattern is consistently the same. Oil price has been fluctuating “wildly” this year. It has several “peaks” (all above $80 per barrel) in Jan, Feb, Mar & Apr this year. However, it has since failed to break the $80 psychological barrier and trended lower instead. Catalysts For Low Price: Failure of the Chinese economy to recover (as hoped by the West) could be the main factor. The other being the copious amount of oil that Russia has been pumping in exchange for hard currency to keep the economy going would be the likely second reason. In an attempt to halt the falling oil price that is creating a big headache for Saudi Arabia, they have decided unilaterally to cut oil production by 9 Million bpd (newly revised goal) from July 2023 onwards. This was announced on 04 Jun 2023, after the OPEC+ members meeting in Vienna. It is “strange” that only Saudi Arabia is cutting its output and not other members. Speaks a lot doesn’t of the cartel’s “harmony”? The “warning” sounded by Saudi Arabia before the OPEC+ meeting hasn’t rear its “ugly” head yet. Either that or it is still in the making? According to the Reuters post (see above), there will be eeee2 factors that would sway oil price this week: US CPI data for May 2023 (out tomorrow). The Fed’s policy outlook for the year ahead. It doesn’t help that $Goldman Sachs(GS)$ made its 3rd downward price revision for the global benchmark in 6 months, trimming its estimate to US$86 for the end 2023 on rising supplies and waning demand. In the sea of negative news about oil prices, do you find that “opportunity for rebound” is in the making, in the mid to longer term? Mr Buffett did and that was why $Berkshire Hathaway(BRK.B)$ has been loading up on $Occidental(OXY)$ stocks from 2022 into 2023. Is it timely for individual investors (like us) to learn from him and emulate his strategy? For sure, I will be keeping a watch out for the CPI data and the press conference that follows after. Do you think favourably of Energy stocks? Do you think you will get your feet wet when it comes to all things Oil? Please give a “LIKe”, “Share” & “Re-post” ok. Thanks. Rating is very important (to me). Will you consider “Follow me” so that you get firsthand read of my daily new posts? Thanks! @Daily_Discussion @TigerPM @Tiger_SG @TigerStars