Recent volatility in oil prices doesn’t mark the beginning of a bear market. Rather, it’s a correction and buying opportunity.
Oil Investing
Oil investing hardly needs an introduction as the petroleum industry has been the single most influential industry in the last century. Yet, talks about peak oil and environmental concerns over fossil fuels have sparked new debates about the viability of oil-based energy and the future of oil investing. The industry remains in a state of flux; while concerns about running out has led us to scramble looking for alternative sources, the lack of a better solution means that oil continues to be our most important energy source.
The oil investing archive below, uncovers the most important factors affecting oil markets and oil stocks. In-depth analysis, featuring exclusive charts and data, reveals the best long-term trends in oil investing and identifies the actionable investment opportunities to profit from these trends.
Take advantage of short-term weakness in oil-related stocks and add to your positions.
Refining stocks have been on fire this year. Shares of the five major US independent refiners are up an average of 24.3 percent year to date, significantly outpacing the 13.4 percent gain posted by the S&P 500 Energy Index.
This US-based Super Oil is poised to profit as oil continues its climb above $100 in 2011.
Predictably, the price of oil rose as things got hotter in North Africa. And after initial fears subsided, opportunistic money flowed to Egypt-themed assets.
The Canadian oil sands represent hope in the struggle for energy independence.
Depressed natural gas prices and a strong recovery in the value of crude make onshore oil plays an enticing proposition, especially given oil’s long-term fundamentals. Low production costs and rising oil prices make the Bakken shale a winner.
The mere mention of oil prices eclipsing $100 per barrel prompts most US consumers to grouse about paying $5 per gallon of gasoline at the pump. It’s easy to focus on the relationship between oil and gasoline prices. But the potential for diesel prices to hit $5 per gallon is of equal concern.
Over the past four years discoveries in the pre-salt deposits in the ultra-deepwater Santos Basin offshore Brazil have floored investors and market observers worldwide, primarily by the sheer scope of their potentially recoverable reserves. Oil services and equipment firms will benefit handsomely from the exploration and production of these massuve finds.
Here’s a rundown of eight reasons why I expect oil prices to stage a major rally.
