|Bid||4.1100 x 43500|
|Ask||4.1200 x 36200|
|Day's Range||4.0500 - 4.2800|
|52 Week Range||4.0500 - 13.8600|
|PE Ratio (TTM)||N/A|
|YTD Daily Total Return||-65.14%|
|Beta (5Y Monthly)||2.04|
|Expense Ratio (net)||0.79%|
The coronavirus pandemic has come with changes in the way people live. Some of those changes will be temporary. Some will be permanent.
Oil prices continued to fall on Monday, reaching an 18-year low as Saudi Arabia and Russia failed to agree on the scale of production and the coronavirus pandemic continued to depress demand. Analyst: Oil Market Needs Rebalancing "The global oil surplus is increasing fast and refineries are rapidly shutting down because they either lose money for every barrel they process, or they have nowhere to put their oil products," Bjarne Schieldrop, the chief commodities analyst at SEB, said in a statement. More and more on-shore oil producers are facing prices of zero to $10 per barrel or even negative prices, the analyst said. "Damage today implies less production tomorrow once we have put COVID-19 behind us and the world is brimming with fiscal and monetary stimulus." The oil market needs rebalancing, Schieldrop said, adding that the magnitude of the surplus is still rising, inventories are rising even faster and oil prices will head even lower.Russia, Saudi Arabia's Oil Price War At the March 6 Organization of the Petroleum Exporting Countries meeting, Russia refused to sign up to additional cuts proposed by OPEC oil producers. Saudi Arabia decided to increase its oil production and launched an oil price war that triggered a major fall in the price of oil,.On Monday, President Donald Trump told "Fox & Friends" that he will be speaking with Russian President Vladimir Putin and discussing oil and other matters.Related Links:Oil Claws Its Way Back Up, Analyst Projects Startling Q2 SurplusCommodities Analyst Says Oil Price Slump Hammers US Shale Companies: 'Supply And Demand Are Going In Opposite Directions'See more from Benzinga * Oil Claws Its Way Back Up, Analyst Projects Startling Q2 Surplus * Oil Prices Rebound, Analyst Says Market Faces Tsunami Of Surplus * Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing Countries(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Oil prices and the energy industry were facing an eventual reckoning. COVID-19 is adjusting the timetable.
The price of oil clawed its way back up Tuesday: the WTI oil price gained 3% to settle around $24 per barrel.Volatility is expected to continue as the coronavirus outbreak and slowdown in business add pressure to oil prices.On Monday, Russian oil minister Alexander Novak was in discussions with Russian oil producers to see whether they think Russia should reignite discussions with OPEC on deeper cuts, Bjarne Schieldrop, chief commodities analyst at SEB, said in a note.The fall in oil prices and further panic in the markets has been squeezing U.S. shale companies."U.S. shale oil production growth fueled by debt has been a major problem for both OPEC and Russia since the 2014/15 price collapse and the strong U.S. shale oil production rebound since 2016," Schieldrop said. The analyst questioned why Russia and OPEC would move in and save U.S. shale oil producers.That factor was why the Russian oil producers decided they did not want to cut deeper in the second quarter of 2020, because it would mostly help U.S. shale oil players rather than Russian oil producers, Schieldrop said. Oil Surplus Forecast In Q2 The market facing a tsunami of oil surplus in April, the analyst said."We are now looking at surplus in Q2 2020 at a scale that we have never seen before. It is not difficult to imagine that with no flights, people soon sitting at home and the industry close to shut down that demand could fall even more."Related Links:Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing CountriesOil Prices Rebound, Analyst Says Market Faces Tsunami Of SurplusSee more from Benzinga * IRS Tax Deadline Extended To July 15, Mnuchin Says * Oil Prices Rebound, Analyst Says Market Faces Tsunami Of Surplus * Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing Countries(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Oil prices are dirt-cheap right now. When they inevitably recover, here's an efficient way to play the rally, asserts Chris Preston, editor of Cabot Wealth Network.
Oil prices have started to rebound and one analyst warned Thursday that the market is standing on the shore and facing a tsunami of oil surplus in April. On Wednesday, the price of oil fell to an 18-year low. WTI crude fell as much as 26% to $20.06 as the spread of the coronavirus triggered further panic in the markets."The price rebound this morning (19 March) is just a brief relief before it goes lower," Bjarne Schieldrop, chief commodities analyst at SEB, said in a Thursday note."While the spreading of the virus has further to go and oil prices further to drop, we are now probably getting very close to peak fear in western and global financial markets."Benzinga is covering every angle of how the coronavirus affects the financial world. For daily updates, sign up for our coronavirus newsletter.OPEC Price War Fading? The Saudi-Russia price war is now starting to fade into the background as the global demand shock takes center stage, the analyst said. The surplus will crush oil prices to much lower levels unless OPEC turns around 180 degrees and initiates massive cuts to counter the evolving demand plunge, he said. "Saudi Arabia and Russia are now producing at 'over-kill' in the middle of a demand shock. It is not possible to maintain such levels for very long or beyond Q2 2020, and they are likely going to ease back to only 'kill' levels in May/June 2020." Related Links:Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing CountriesCommodities Analyst Says Oil Price Slump Hammers US Shale Companies: 'Supply And Demand Are Going In Opposite Directions'See more from Benzinga * Oil Prices Fall To 17-Year Low, OPEC And IEA Warn Of 'Major Consequences' For Developing Countries * Commodities Analyst Says Oil Price Slump Hammers US Shale Companies: 'Supply And Demand Are Going In Opposite Directions' * Plunge In Oil Prices, Coronavirus Sell-Off Signal Recession, Analyst Says(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Oil prices remain in freefall and as the spread of the coronavirus triggers further panic in the markets, and this is in turn is squeezing U.S. shale companies.At the time of writing Monday, Brent crude was down more than 8% and U.S. West Texas Intermediate crude was falling 5.23% to $29.97. Analyst: Shale Production To Decline Bjarne Schieldrop, the chief commodities analyst at SEB, said he expects U.S. shale oil production to decline by 1 million barrels a daily in the next 12 months."Supply and demand are going in opposite directions in a way we have hardly seen before, with OPEC increasing production strongly at the same time as global demand takes a deep dive. The inventory build will be large in the short term and depress the market in the medium term."Demand is declining sharply due to the unfolding coronavirus crisis, the analyst said. "Oil demand in China indicatively declined by 30% in February 2020 but China dealt with the outbreak aggressively and swiftly with less than 0.01% of the population becoming infected."Although the Chinese economy is now rebounding, SEB said it expects oil global demand to decline further in the second quarter of 2020 to as low as 95.2m bl/day before rebounding in the second half of 2020.OPEC Price War At a March 6 Organization of the Petroleum Exporting Countries meeting, Russia refused to sign up to additional cuts proposed by OPEC oil producers. Saudi Arabia decided to increase its oil production and launched an oil price war. "OPEC has been unable to find common ground, with all producers switching from production cuts to increases. Non-OPEC supply is set to increase 0.6m bl/day from Q1 2020 to Q2 2020," Schieldrop said. OPEC's production is set to increase from 27.9m bl/day in February 2020 to at least 30.5m bl/day in the second quarter, the analyst said. A last-minute deal between Russia and OPEC before the expiry of the current cuts at the end of March is very unlikely, in Schieldrop's view. "Russia has probably firmly decided that now is the time to pull away the rug from under the feet of the shale oil producers, so now is the time for the second shale oil reset."Related Link:Plunge In Oil Prices, Coronavirus Sell-Off Signal Recession, Analyst SaysSee more from Benzinga * WHO Declares The Coronavirus Outbreak A Pandemic * China's Xi Visits Wuhan, Says Coronavirus Outbreak 'Basically Curbed' * Lloyd Blankfein Predicts 'Quick Recovery' For Markets(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Warren Buffett continues to collect a dividend on his Occidental Petroleum investment -- even after the company slashed its payout to common shareholders.
Oil is trading lower after Saudi Arabia slashed crude oil prices over the weekend. Andrew Lipow, President of Lipow Oil Associates joins Yahoo Finance’s On The Move panel to discuss.
Saudi Arabia launched an oil price war over the weekend, prompting oil to lose as much as a third of its value. Stephen Schork, Editor of the The Schork Report joins Yahoo Finance to discuss.
The plunge in oil prices alongside the recent market lows from the coronavirus marks the beginning of a recession, according to two market analysts.On Friday, talks between OPEC and its allies collapsed in Vienna, sending oil plunging down 10%.The markets are shaken by the threat of a price war between OPEC and its main ally, Russia, said Kerstin Braunn, president of Stenn Group, an international provider of trade finance."With markets fluctuating like crazy as the coronavirus takes its financial toll on global economies, and oil prices at unpredictable lows, for us this marks the beginning of a recession," Braunn said in a note. "Our research showed that at the beginning of the year, half of UK and US businesses predicted a recession and a third predicted an international global crisis. Just three months into 2020 and we're starting to see this play out."Chinese Companies Will Default, Braunn Says Many Chinese companies are operating at one month of cash flow only, and if not supported by their stronger buyers in the western world, it's likely they will begin to default, fueling a further global downturn, Braunn said. Oil prices are likely to visit 2016 lows, said Artur Baluszynski, head of research at Henderson Rowe. "Russia is willing to sacrifice its short-term economic wellbeing for longer term geopolitical goals of weakening Saudi Arabia and debt addicted US shale producers."The good news is that cheap oil is usually a big positive for consumers.This takes time to feed through to the real economy, and with both supply and demand being significantly affected by the coronavirus, the markets will continue to focus on the downside.Oil Price Action Brent crude was trading down 21.58% at $35.50 at the time of publication Monday.Related Links:3 Bearish Oil ETFs To Consider Amid Crude's Violent TumbleIranian Tanker Hit In Potential Strike, Oil Prices JumpSee more from Benzinga * Saudi Arabia Reportedly Considering Oil Production Cuts Due To Coronavirus Risk(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Energy markets and related ETFs slipped Friday as Saudi Arabi considers breaking off its four-year alliance with Russia as the spreading coronavirus outbreak impedes economic activity and pulls down oil ...
Since bouncing off the key $50 level, crude oil futures posted their highest settlement in nearly three weeks on Thursday, with Brent oil rallying to its seventh session advance in a row. After a precipitous drop due to the coronavirus, excess supply, and a number of other factors, West Texas Intermediate crude oil has bounced off the $50 level several times over the last couple of weeks and continuing its move higher Thursday, up another 0.39% to $53.77 a barrel. A number of other factors have been at work in propping up the oil market, in addition to the technical $50 level.
The coronavirus is having a greater impact globally than initially thought, and it’s spilling over into oil prices. The International Energy Agency (IEA) is expecting demand to fall for the first time in 10 years, which doesn’t bode well for bullish oil traders. The growth target also represents a lower figure than the one forecasted by the Organization of the Petroleum Exporting Countries (OPEC).
After a precipitous drop due to the coronavirus, excess supply, and a number of other factors, West Texas Intermediate crude oil has bounced off the $50 level several times over the last couple of weeks and is making a relatively strong move higher Friday, despite a continuing lack of fuel demand. WTI crude oil is up over 1% today is approaching $52 a barrel, after moving off a recent low of around $49.50. The flu-like symptoms of the coronavirus, which was first identified late last year, has millions of people now under travel restrictions in China, which is impacting jet fuel demand, and affected Chinese New Year travel, which represented the world’s largest annual human migration.
Crude oil-related ETFs may continue to suffer as global oil demand is expected to decline for the first three months of the year, marking the first quarterly drop in over a decade. Year-to-date, the United States Oil Fund (USO) , which tracks West Texas Intermediate crude oil futures, decreased 15.6% and the United States Brent Oil Fund (BNO) , which tracks Brent crude oil futures, plunged 13.8% as WTI crude oil futures dropped to $551.3 per barrel and Brent crude fell to $56.2 per barrel. The depressed prices could linger as the International Energy Agency blamed a global drop in quarterly oil demand for the first time in over a decade to a likely economic slowdown in China related to the novel coronavirus outbreak, the Wall Street Journal reports.
Oil is coming off its worst January performance in 30 years and the United States Oil Fund (USO), which tracks West Texas Intermediate crude oil futures, could be in for more near-term pain caused by the coronavirus. A decline in China’s economy as a result of the virus and traveling would impact demand since China is the world’s largest crude oil importer, after importing a record 10.12 million barrels per day in 2019, according to data from the General Administration of Customs. The massive Asian country is also the second-largest oil consumer, behind the United States.
Energy markets and sector-related ETFs surged Wednesday, recouping some of the previous losses, despite reports of rising crude stocks. Among the best performing non-leveraged ETFs of Wednesday, the SPDR ...
Technically speaking, the S&P 500 has pulled in sharply from recent record highs, pressured amid the most aggressive selling pressure since October, writes Michael Ashbaugh.
Saber rattling in the Middle East created a roller coaster ride in asset prices this week. Oil prices initially ripped and then rapidly reversed yesterday, ending with a nasty 4% drop. Energy stocks fell across the board in the wake of the whiplash. While the volatility can be fear-inducing, it also brings opportunity.Today we'll focus on three ways to play the oil drop.The energy sector just ended a decade worth forgetting. While the S&P 500 more than doubled, the Energy Sector ETF (NYSEARCA:XLE) finished right where it began. Sure, shareholders received some dividends along the way, but the cash flow pales in comparison to the giant gains had by the broader market.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut the extreme relative weakness has led to low valuations, and that could make energy a pond worth bottom fishing in. Tack on this week's volatility fit in crude oil, and we have the excuse needed to shine a spotlight on the space. * 10 Stocks That Every 30-Year-Old Should Buy and Hold Forever Here are three smart trades in oil stocks. Oil Stocks to Play Now: United States Oil Fund (USO)Source: The thinkorswim® platform from TD Ameritrade Our first idea dispenses with clever derivative plays and goes straight for the jugular. If you think the oil drop presents weakness worth buying, then do so directly with a trade on the United States Oil Fund (NYSEARCA:USO). It's a product designed to track the short-term movements in oil by holding crude oil futures contracts. Although it tends to lag crude over the long term, in the short run, it's a pretty good proxy.That means if oil rebounds in the coming weeks, USO should too.Yesterday's sucker punch took the oil ETF below its rising 20-day moving average, but the 50-day is still pointing higher, suggesting the intermediate-term uptrend is intact. Implied volatility jumped this week, breathing new life into options premiums. Let's build a naked put play to profit if USO sits above $12 a month from now.The Trade: Sell the Feb $12 puts for 28 cents. Oil & Gas (XOP)Source: The thinkorswim® platform from TD Ameritrade An alternate path to profits could be playing a broad basket of oil stocks via the Oil & Gas Explore & Prod. ETF (NYSEARCA:XOP). Stocks in this industry have been decimated over the decade and sit at the low-end of the ten years. While bottom fishing is a dangerous endeavor, we can increase our odds by using high probability options strategies like naked puts and covered calls. That way, we build a position that profits even if XOP treads water or drops a bit further.December's rise was enough to turn the 20-day and 50-day moving averages higher, so buyers do control the short-term trend. Wednesday's whack created a lower-risk entry, and I'm inclined to accept the gift with a naked put play. * 7 Stocks That Are Screaming Buys Right Now The Trade: Sell the Feb $22 put for 42 cents. Exxon Mobil (XOM)Source: The thinkorswim® platform from TD Ameritrade The final avenue involves trading the juggernaut in the space, Exxon Mobil (NYSE:XOM). It's a much less volatile pick than my prior two picks and presents a more conservative alternative. Dividend hunters will be particularly happy about this one. The steady drop in price over the decade has boosted the dividend yield to a mouth-watering 5%.Dividends present a silver lining when bottom fishing. If Exxon stock takes a while before recovering, you still get paid while waiting. XOM stock's price trend is more neutral than USO and XOP, but implied volatility has been steadily rising, and options premiums are pumped enough to warrant selling them.The Trade: Sell the Feb $67.5o/$65 bull put spread for around 70 cents.As of this writing, Tyler Craig didn't hold positions in any of the aforementioned securities. For a free trial to the best trading community on the planet and Tyler's current home, click here! More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 of the Strangest Stocks Worth Your Time * 7 Stocks to Buy That Trump's Tax Cut Truly Rewarded * 5 Stocks That Could Double in 2020 The post 3 Oil Stocks That Are Worth Looking Into Now appeared first on InvestorPlace.