• 3 minutes War for Taiwan?
  • 7 minutes How China Is Racing To Expand Its Global Energy Influence
  • 10 minutes Is it time to talk about Hydrogen?
  • 1 min U.S. Presidential Elections Status - Electoral Votes
  • 4 hours CV19 VACCINE : Medical Ethics , "Do no harm"
  • 6 hours Tesla Semi
  • 6 hours “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 1 day “Consumers Will Pay For Carbon Pricing Costs” by Irina Slav
  • 1 hour British PM Eyes Banning Gasoline and Diesel Car Sales
  • 80 days China Must Prepare for War Says State Media

Breaking News:

Denmark To End Oil Production In 2050

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

On the Short End of a Slippery Stick

There’s little in the energy space that I like right now; major indexes look fairly priced and energy stocks offer even less to get excited about.  US E+P has had it’s major run in 2013 and the two values I like – Anadarko (APC) and Noble (NBL) – have been quiet and need more patience.  Refiners are well priced considering the curve, except perhaps for Valero (VLO), which seems overextended.  Offshore drillers are off-cycle and I’m not ready to pick a bottom, yet. Natural gas at $4.40 looks steady.

But the continuing story surrounding Ukraine, which I thought would begin to quiet by now has instead unbelievably escalated. Oil prices are at risk for a major spike upwards.

Ukraine’s coup d’état was met, in my view, by a very restrained Russian reaction – securing their Black Sea port at Sevastopol and reclaiming a 90+% native population in Crimea.  My thoughts were at the time that Russia would then proceed to dislodge the minority, Western-leaning ‘government’ in Kiev by slowly using their strong influence in natural gas supply through the nation – a tactic they have used successfully in Eastern Europe twice in the recent past.  

Beyond what was, I suppose, a necessary token reaction of sanctions of half a dozen Kremlinites by President Obama, I expected the rest to be solved internally – and all the fears of further Russian military incursions would fade…




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