It sounds like the SA's will never let the oil glut occur again in the future the way they did these last several years. If they start to limit or even not expand production, oil will sky rocket. No time to be short oil now.
That's my whole point here. The bulk of those purchases were when the stock was trading below $6. Now at $6.60's and above book. Divy may be safe on principal, but continued payouts in excess of earnings will lower NAV and thus earnings in this quarter would have to almost double from last quarter to keep NAV at it's current $6.46. Not saying its not a good investment, but its come too far too fast. Good stock, but in the lower 6's.--JMHO of course
Yet none of this matters as fundamentals no longer rule the price of oil--big money has backed increasing the price of oil--SA knows it doesn't matter how much oil they pump--it's been decided that oil will be $60 by year end and $75 to $80 next year. Stop fighting the inevitable. And stop worrying about inventory levels--they no longer matter to the long term price of oil.