I wouldn't go long
refinersif you want to play a hurricane induced
rise in oil prices. A lot of refiners stand to sustain
physical damages and they do not usually benefit from rising oil,
at least when it rises fast since that usually narrows the crack
spread.
PBR, Brazilian explorer and producer (E&P) is
not performing well in relation to other explorers for some reason
not known to me. You might want to consider Canadian
oil sand plays,
natural gas land-based E&Ps(E&Ps drilling
in the Gulf of Mexico stand to sustain physical damages and
shutdowns), and
oil and gas service companies. Look at the
charts for particular candidates if you want to play it this
way.
Shorting transportation stocksis another way to
play rising oil as well as economic weakness. If hurricane
Guzman does not end up being a problem, though, these plays could
be losers short term since traders are putting these plays on
today.
Posted by pthoreson on 26th of Aug 2008 at 05:09 pm
Actually, I believe the price of PBR has been harmed recently by
Pres. Lula's talk about placing all the offshore oil fields under a
single, newly created, State owned entity and using the royalties
on oil to fund education. The plan would involve compensation to
the current leaseholders, but who knows how much or how it would
eventually be determined. And no, Cesar Chavez has not visited
Brasil recently, this appears to be purely a Lula idea.
I have linked one of the English language stories about the
subject. You can subscribe to an RSS feed from this site, it has
frequent articles of interest to investors in PBR, RIO and EWZ. And
a lot of "glass half empty" x-pat Brasilians who comment on the
articles.
Posted by wondernut98 on 26th of Aug 2008 at 11:52 am
Well if
you want to go long oil you will have to sell your refiners,
they normaly will not due well if the price of oil goes up. I
personally sold my refiners and am staying out of the space.
You can loose a lot of money in a market that lacks
direction. After today volume should lighter than the past
few days as the big wigs leave on holiday and the junior traders
are in command.
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looking to go long OIL
Posted by maverick on 26th of Aug 2008 at 11:39 am
should i go USO, PBR or anything else, i'm Long UNG, VLO, DIG, TSO, FTO & ALJ now
I wouldn't go long refinersif
Posted by martin on 26th of Aug 2008 at 01:13 pm
I wouldn't go long refinersif you want to play a hurricane induced rise in oil prices. A lot of refiners stand to sustain physical damages and they do not usually benefit from rising oil, at least when it rises fast since that usually narrows the crack spread. PBR, Brazilian explorer and producer (E&P) is not performing well in relation to other explorers for some reason not known to me. You might want to consider Canadian oil sand plays, natural gas land-based E&Ps(E&Ps drilling in the Gulf of Mexico stand to sustain physical damages and shutdowns), and oil and gas service companies. Look at the charts for particular candidates if you want to play it this way. Shorting transportation stocksis another way to play rising oil as well as economic weakness. If hurricane Guzman does not end up being a problem, though, these plays could be losers short term since traders are putting these plays on today.
PBR
Posted by dallahoo on 26th of Aug 2008 at 04:39 pm
this may be one explanation why PBR shares are lethargic, they were stopped from selling some assets
article
PBR EWZ
Posted by pthoreson on 26th of Aug 2008 at 05:09 pm
Actually, I believe the price of PBR has been harmed recently by Pres. Lula's talk about placing all the offshore oil fields under a single, newly created, State owned entity and using the royalties on oil to fund education. The plan would involve compensation to the current leaseholders, but who knows how much or how it would eventually be determined. And no, Cesar Chavez has not visited Brasil recently, this appears to be purely a Lula idea.
I have linked one of the English language stories about the subject. You can subscribe to an RSS feed from this site, it has frequent articles of interest to investors in PBR, RIO and EWZ. And a lot of "glass half empty" x-pat Brasilians who comment on the articles.
Link
that's excellent, thank you for
Posted by dallahoo on 26th of Aug 2008 at 09:02 pm
that's excellent, thank you for posting it
Going Long Oil
Posted by wondernut98 on 26th of Aug 2008 at 11:52 am
Well if you want to go long oil you will have to sell your refiners, they normaly will not due well if the price of oil goes up. I personally sold my refiners and am staying out of the space. You can loose a lot of money in a market that lacks direction. After today volume should lighter than the past few days as the big wigs leave on holiday and the junior traders are in command.