How do you know/ It may sure, but also it may not. If anything the charts point towards a stabilization of the price. But we do not know. And with fracking oil production costing $60-70, and deep water oil more difficult to find a $40 oil cannot be sustained.
We know how good people are at predicting the price of oil! However, as WB said buy when everybody is fearul. Oil at $ 40-50 is not sustainable.
Why short gold now that it is 40% down? Why short oil which is 60% down? Too late to short. You can argue whether you should start accumulating or not. Commodities will be higher at the end of 2015 than they are now.
The shorts are pounding this stock because of recent downgrade. I think that today's jobs report with falling wages indicates deflation and further fall in oil prices which is bullish for airline stocks. Do not get me wrong this is a temporary phenomenon long range we will have currencies collapse.
Good point again. But and this is the fundamental point, I do not think that the Fed is going to rise rates "significantly". Fed rate at 0.25% is a joke. Today's numbers with wages falling is getting everybody scared.
Interesting point. A paradoxical effect that because of negative rates in Europe people will continue to buy american bonds in spite of rising rates.
The important surprise is the continuous bull market in treasuries with the 10 year yield below 2%! This is both surprising and absurd because it is impossible that the dollar will keep its value in 10 years. But it has huge implications. It means, in my opinion, but I am open to criticism, that the market believes in deflation, and therefore the Fed will not rise interest rates and will continue to propel the asset bubble. Serious criticism welcome.