Oil fell down hard today after news of supply still overstocked. This was after a rise from the slump earlier this month. I still think that oil will go up in the long-run back to previous levels but it will be a volatile and rocky road there. I have enjoyed the cheap gasoline at the pump but know that it is a temporary price. A good move will be to take advantage of the cheaper gas now and invest in companies that have been hurt like Exxon and Chevron.
The NASDAQ is closing in on 5000 points around thirty points shy. It's very close to its all time high and one that has not been seen in fifteen years. Apple has certainly carried it up to the heights it is at now. Once it passes this milestone again will it go up or will it scare investors that the market is overvalued. Earrings at record levels and good prospects on the economy this year point to a great sign that the markets will continue to go up and up. Companies are getting stronger and will attract people to invest in the market. I've invested in this market.
Showing posts with label oil. Show all posts
Showing posts with label oil. Show all posts
Thursday, February 26, 2015
Thursday, January 15, 2015
The Market Is Down Again
The market has had several days of losses. It has started high and then nosedived or just started down and never goes positive. This will scare many people from the market and could get people to stop investing or pul money out. This is the wrong strategy. Money should be going into stocks. They are still a great buy and certainly have room to go up even higher. Not only do third year terms for presidents always outperform the average but companies are still profitable.
Companies have changed their outlooks and some companies earnings have missed. Many companies are still strong though and will do really well once the oil is more stabilized and consumers have money to spend from saving at the fuel pump.
At this time I am still strongly a bull and believe the market will shake off these early year jitters. In full disclosure, the Christmas season was not as strong as I expected. It did not have the increase in December spending but a decrease. I cannot always be right but it does seem that consumers had money. The consumers did not spend their extra cash. I think they will spend it and some were probably waiting for the deals after Christmas.
Happy Investing in 2015 may it be profitable.
Companies have changed their outlooks and some companies earnings have missed. Many companies are still strong though and will do really well once the oil is more stabilized and consumers have money to spend from saving at the fuel pump.
At this time I am still strongly a bull and believe the market will shake off these early year jitters. In full disclosure, the Christmas season was not as strong as I expected. It did not have the increase in December spending but a decrease. I cannot always be right but it does seem that consumers had money. The consumers did not spend their extra cash. I think they will spend it and some were probably waiting for the deals after Christmas.
Happy Investing in 2015 may it be profitable.
Sunday, January 4, 2015
Is Telsa Now a Buy
Telsa looks like a good company. It has good, healthy growing sales. It makes batteries that last and make people want to drive a Tesla. It probably has plans to make more cars that are more accessible and different ideas to expand the idea. Elon Musk is a extraordinary CEO. He pushes new ideas and wants to change the world. He will change the world if the company continues letting him push ideas.
With the recent collapse in oil prices the stock has taken a hit in price but recovered slightly. I think it will continue to fluctuate with the price of oil for awhile but even with cheap oil as long as they design awesome cars people will buy them. this will create huge profits for the company and for the investors.
It is always a risk to invest in a company but Tesla is a good risk. It has a way to change the market and offers a super product that will bring value to everyone in the world. Investors might want to look at it to also receive some of the wealth that will be created.
With the recent collapse in oil prices the stock has taken a hit in price but recovered slightly. I think it will continue to fluctuate with the price of oil for awhile but even with cheap oil as long as they design awesome cars people will buy them. this will create huge profits for the company and for the investors.
It is always a risk to invest in a company but Tesla is a good risk. It has a way to change the market and offers a super product that will bring value to everyone in the world. Investors might want to look at it to also receive some of the wealth that will be created.
Sunday, November 30, 2014
Oil's Collapse and Bad Calls
The recent 10% drop in oil prices now trading about $65 a barrel it means that all the big oil companies took a hit in stock price. Exxon itself took a 4% hit on Friday. This would be bad in the short-term for anyone who followed my advice to buy Exxon a few weeks back. I still think Exxon will recover and might even make more money on cheaper oil. It just hurts to look and see that drop in stock price in a day. This is why we as investors need a well-diversified portfolio. The drop would be bad but it would not hurt the entire portfolio. Just a small drop on a small percentage. Bad but not catastrophic. We try to avoid those when handling money. Also, another reason to diversify in industry and across the globe.
Exxon could still easily recover and I think they will buy back more shares at this cheaper price. They might make more too because consumers are used to high gas prices so there would be less downward pressure to lower gas prices as much as the drop in oil prices. Exxon will also make plenty of money from its large holding of natural gas. Those prices are up and it looks to be a cold winter which will be good for Exxon. It might be several years or it could be in a few months when it recovers. Still la great long term-play.
OPEC is trying to hurt the United States Oil production that is competing with it. I think some of the OPEC members though will not be able to handle this squeeze and will lower production to raise prices. They depend on that money and have gotten used to the high price. It must be maintained in the long run.
Exxon could still easily recover and I think they will buy back more shares at this cheaper price. They might make more too because consumers are used to high gas prices so there would be less downward pressure to lower gas prices as much as the drop in oil prices. Exxon will also make plenty of money from its large holding of natural gas. Those prices are up and it looks to be a cold winter which will be good for Exxon. It might be several years or it could be in a few months when it recovers. Still la great long term-play.
OPEC is trying to hurt the United States Oil production that is competing with it. I think some of the OPEC members though will not be able to handle this squeeze and will lower production to raise prices. They depend on that money and have gotten used to the high price. It must be maintained in the long run.
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