• 4 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 7 minutes Oil prices forecast
  • 11 minutes Algorithms Taking Over Oil Fields
  • 14 mintues NIGERIAN CRUDE OIL
  • 6 hours UK, Stay in EU, Says Tusk
  • 2 hours Socialists want to exorcise the O&G demon by 2030
  • 6 hours Blame Oil Price or EVs for Car Market Crash? Auto Recession Has Started
  • 2 hours Nuclear Power Can Be Green – But At A Price
  • 3 hours Venezuela continues to sink in misery
  • 16 hours German Carmakers Warning: Hard Brexit Would Be "Fatal"
  • 4 hours What will Saudi Arabia say? Booming Qatar-Turkey Trade To Hit $2 bn For 2018
  • 52 mins Chevron to Boost Spend on Quick-Return Projects
  • 18 hours WSJ: Gun Ownership on Rise in Europe After Terror Attacks, Sexual Assaults
  • 15 hours How Is Greenland Dealing With Climate Change?
  • 39 mins Maritime Act of 2020 and pending carbon tax effects
  • 1 day Solid-State Batteries
  • 19 hours Trump inclined to declare national emergency if talks continue to stall - Twitter hides this as "sensitive material"
  • 1 day Orphan Wells
Dan Dicker

Dan Dicker

Dan Dicker is a 25 year veteran of the New York Mercantile Exchange where he traded crude oil, natural gas, unleaded gasoline and heating oil…

More Info

Dealing With The New Oil Price Reality

You cannot go long on oil here. But I also think it's impossible to be short. What that leaves us with, as we're trying to trade and invest in the energy space, is more than a bit of a conundrum.

The OPEC meeting's outcome was no surprise to anyone – all the ink being spilled on the 'end of the cartel' or other such nonsense is just that.

The Saudis have had a plan. They're out to destroy non-OPEC production and regain control of the global marketplace. They've been following that plan for the last year, and gotten little in the way of help from other OPEC members, or destruction in production elsewhere – so far.

So they ratchet up the pressure. What, $45 a barrel isn't low enough to force 20 large cap US and Canadian E+P's into major restructuring? How does $35 strike you then? Are some of your ready to cry 'Uncle' yet?

That's what's been going on with oil stocks in the last week, since the meeting's outcome last Friday.

Oil company shareholders are realizing this 'ain't no game' and that prices are going to stay low for as long as it takes to shake out some of the weakies.

To use the parlance of the day - “Stuff” just got real.

A great parallel I got this week was from my friend Paul Siluch at Raymond James in Canada – where they dealing with their own serious stresses in the oil patch.

He draws a comparison from the tech bubble in 2000 and charts the movement of Cisco (one of the survivors of…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin



Oilprice - The No. 1 Source for Oil & Energy News