May Take - November 26
Posted: Mon Nov 26, 2012 9:16 pm
As I pointed out in the newsletter, there is a lot of FEAR in this market. Until Washington figures out what they are going to do about the "Fiscal Cliff" we are going to see lots of panic selling. Individual company fundamentals don't mean a lot when people think the world is about the end. Energy XXI sold off today on news of delay in testing one well that they only have a 15% working interest in. EXXI is going to report strong production growth in the 4th quarter. My forecast has nothing in it for Davy Jones or any of their Ultra Deep Shelf prospects.
We should shoot the guy that called it the Fiscal Cliff.
Crude oil is up in after hours trading as it looks like EU has some kind of an agreement with Greece. The agreement may not be worth the paper it is written on but that doesn't matter. People just need the illusion of order to feel better.
I believe ANY type of agreement, even an agreement to "kick the can down the road" for six months by Washington, will send the U.S. markets higher. All Obama has to do is to agree to some spending cuts and the Republicans will let him raise taxes on the "rich". Then he can claim victory and go on vacation on Air Force One.
The chart for oil actually looks fairly good with crude oil holding in the upper $80s. The chart for natural gas looks very good.
We should shoot the guy that called it the Fiscal Cliff.
Crude oil is up in after hours trading as it looks like EU has some kind of an agreement with Greece. The agreement may not be worth the paper it is written on but that doesn't matter. People just need the illusion of order to feel better.
I believe ANY type of agreement, even an agreement to "kick the can down the road" for six months by Washington, will send the U.S. markets higher. All Obama has to do is to agree to some spending cuts and the Republicans will let him raise taxes on the "rich". Then he can claim victory and go on vacation on Air Force One.
The chart for oil actually looks fairly good with crude oil holding in the upper $80s. The chart for natural gas looks very good.