Oh no should I start hoarding gas in my garage? Oh what to do what a dilemma we are in? I remember waiting in the gas lines of the 1970's with odd/even days....say it ain't so!!!
Give it a little time and producers will be running to get their rigs back on line to take advantage of these higher prices H. Hamm already said he would a few weeks ago. At that point figure out where the price will go. Peak driving season for traders ends in early July and the EIA said that commercial inventory levels were still at historically high levels for this time of the year. When all the TV pumpers are done oil will go lower eventually especially after a double in 4-5 months. There is still a ton of oil around and when many of the disruptions are done oil will be back in the low $40's soon enough.
Oil was down almost 3% an hour or so ago once again a buying frenzy into the close cut it's loss in half. They will not let go of the trade and if you heard Yellen this morning she was asked if lower energy prices was a good thing and she replied with a definitive NO! You have the Fed doing all they can to keep prices higher and that's the bottom line.
Inventory levels backed up by 5 days last month sounds like a crisis. This is probably a buying opportunity I bought a little at $12.80. Cramer is going to do a bit on FIT tonight on Mad Money. He has been so wrong on FIT but we never hear him talk about his mistakes.
Not in any new trades with oil it seems their numbers want to prop up oil despite the EIA stating that "the commercial crude inventory remains at historically high levels for this time of the year". I'm hoping for some pull back in energy and certain stocks for a trade sold my last of DVN at $38 yesterday. Your point on not counted as inventory until it is on the tankers is crucial yet all the talking heads say demand is robust when it is more about squeezing supply any way they can to get higher prices. It's OK as prices go higher production will pick up forcing prices back down they cannot resist. Recently Harold Hamm said he was about to boost production it's just a matter of time.
It's weak results from early May may have had something to do with it. The stock ran to $7.50 after they raised money but you do need to show good results as oil has basically doubled in 4-5 months. It is being propped up today by options even with oil down (read the article here from yesterday) even with oil lower after the inventory numbers were released. I t may be temporary if you read the article and the time frame of the options. The $5.90 area seems to be pretty good support for now of course that depends on where the price of oil goes. If producers pick up production then oil becomes a coin flip. If that lower band arrives soon I'm a buyer.
Yellen was just asked if lower energy prices are good for the economy and she said definitively NO! This woman is so out of touch like all of DC is. She said it would add to spending so would the extra dollars in consumers pockets that they could spend on goods which create more jobs than the energy industry does. She has it butt backwards and I guess that;'s why she is out to destroy the dollar it seems to be her only mission these days. Yes a weaker dollar helps some corporations but it also chases away foreign investment. Yellen has truly looked lost these 2 days of her testimony. The Florida beaches are calling her name....It's time.
First fund managers who bought TSLA believing it was an auto company will be selling tomorrow early then you may see the covering begin. TSLA shareholders had better hope Musk does not do any kind of secondary soon to fund the purchase then we see $180 or less. That would be the time to buy I believe.
Not tonight it may close near the low at 8pm. Fund managers will be selling tomorrow it will be even lower I believe. It did break $190 a few minutes ago but managers who invested in TSLA thinking it was an auto stock not a solar company may put pressure on shares Wednesday.
Tell that to those who bought at $220 or higher and see what they say. FSLR is the only solar to possibly own in this environment. SCTY is an unprofitable piece of trash. Maybe Musk can build panels on the cars now. TSLA is at $193+ now it failed earlier at $197 it may break $190 tomorrow.
It will go even lower tomorrow I believe. These are mostly individuals selling in the after hours wait until fund managers who bought this as a auto stock have to sell it. They did not invest in TSLA to own an unprofitable solar company. I bet we see near the $190 area Wednesday.
What's also scary is what he is doing with some of the donor money. Sadly they both stink. It's all good today Yellen said stocks were not expensive so get some darts and make some picks.
Many of these big mover energy stocks from today are not much higher in the after hours. That kind of smells like the market knew about the API numbers. Nothing surprises me in this market.
Smells of desperation by Musk on the behalf of Solar City. SCTY had a bad last quarter and yet the stock came back from the high teens to $20-$24 right away. FSLR is the only one worth investing in. In time I think the market stops rewarding Musk and TSLA which is getting destroyed in the AH down over $25 now.
The way all the energy stock traded today it seemed like it may have been leaked although you do have the July contract expiring to a higher level. No matter what the market did they were bidding up these stocks all afternoon. I guess we need to see tomorrow's numbers and is a lot of it in the stocks already? I sold some DVN today at $38 may be too soon. Will producers produce more that's the other side of the price we need to see in the near future.