Sweet 16 Updates - June 22

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dan_s
Posts: 35777
Joined: Fri Apr 23, 2010 8:22 am

Sweet 16 Updates - June 22

Post by dan_s »

I have updated my forecast/valuation models for MGY, SBOW and VTLE today. You can find them on the EPG website home page.
Dan Steffens
Energy Prospectus Group
Fraser921
Posts: 3237
Joined: Mon Mar 22, 2021 11:48 am

Re: Sweet 16 Updates - June 22

Post by Fraser921 »

Why is crude so weak?

Paper traders?

Glut?
dan_s
Posts: 35777
Joined: Fri Apr 23, 2010 8:22 am

Re: Sweet 16 Updates - June 22

Post by dan_s »

There is NO GLUT of oil in the U.S. or the world. Per EIA, U.S. Total Petroleum Inventories (including the SPR) are near a 19 year low.

This dip in oil prices is all Fear of the Fed. There is no indication of a U.S. recessions anytime soon. It is hard to have a recession when we have virtually full employment.

Paper traders that were long NYMEX contracts may have gotten margin calls that they had to deal with this morning.
--------------------------
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3 Oil Stocks to Buy Ahead of a Seemingly Inevitable Rise in Oil Prices
By Matthew DiLallo – Jun 23, 2023 at 8:45AM
KEY POINTS
> EOG Resources (EOG) plans to return at least 60% of its oil-fueled free cash flow to shareholders.
> Devon Energy (DVN) will pay out up to 50% of its excess free cash to investors via its variable dividend.
> Pioneer Natural Resources (PXD) aims to send its investors at least 75% of its free cash flow.
Dan Steffens
Energy Prospectus Group
Orindakid
Posts: 112
Joined: Wed Mar 09, 2016 8:01 pm

Re: Sweet 16 Updates - June 22

Post by Orindakid »

Recession on the horizon?
dan_s
Posts: 35777
Joined: Fri Apr 23, 2010 8:22 am

Re: Sweet 16 Updates - June 22

Post by dan_s »

Is it possible to have a significant recession when the country has full employment? Consumer spending drives the U.S. economy. When everyone that wants a job has a job, they will keep spending money.

What if the most advertised recession in history never happened?
Dan Steffens
Energy Prospectus Group
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