With oil careening lower today, now trading $75 WTI, US markets rejoice. This is a major and seminal shift in sentiment. Just two weeks ago, we panicked at the specter of the Bakken shale becoming a dust bowl again. Now, people are seeing the bigger picture.
Fuck oil and to hell with OPEC.
Let oil drop into the dirt. Each penny gasoline declines, the US saves $1.1 billion in fuel expenses. Heading into the holiday season, you cannot ask for a bigger and better and more immediate tax cut.
Let’s go over who wins, once again.
DPZ, PZZA, BWLD, COST, WFM, M, TJX, JWN, GME, GPRO and of course AAPL.
If you go long that basket and oil continues to plummet, I promise you will not be disappointed.
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What about refiners? Wont they ‘win’ with lower input costs?
not if the WIT-Brent spread tightens, which it is.
What about $AMZN?
China is truly blowing up. The question is whether or not we get cheap iphone labor forever. Commodities seem toast though… this is the endgame.
Heed the prophet who will lead you to profit.
Shut up
Yes sir. sorry.
Building the Keystone pipeline is pure idiocy. Why sell our oil at these low prices? Save it for our grandkids.
If pipeline legislation is proposed by Congressional Morons, it should include a BAN on USA exporting of oil and petroleum products.
what’s the point of piping crude to the Gulf if you’re not going to export it? It was just a matter of time before we exported the stuff
There’s a lot of refineries in the gulf that can ship refined products to US ports on the east coast.
Keystone is a must build. The enviro damage is little or nothing. It will bring oil here from Canada in a more efficient manner than trucking or rail. Cheaper oil is a good thing for the economy and most people living in the USA.
That raises an interesting question: how much of the activity we’ve seen in the rails is an attempt to price in the consequences of the end/delay of the fracking boom? In the absence of the pipeline, which still can’t be built overnight, the less oil we pull out of the ground, the fewer railcars and trucks we need in which to transport it.
exporting oil is already banned. It should be allowed as oil is fungible. World trade is a good thing. It can make sense to sell a little here, buy a little there. For transportation expediency to and from refineries and markets.
Why are you so anti-Islamic?
Don’t be sensititve, he would be just as racist and an asshole if any other race controlled the oil markets for 40 years.
The fat man on the front page is Fly’s neighbor Abdul-Jabbar. I don’t think it was meant to poke fun at your religion.
Yeah ! fuck opec
Oil this low is not good for the general market though I agree consumer discretionary should soar.
its not going to continue to plummet. Too much supply turns off if you go below 70$
Do you have thoughts on $GNRC? High short interest, trading 2x sales, undisputed leader in class, and a good name into a probably-gnarly winter. I’m looking to get long and just wanted to see if you had any thoughts.
Fly, are you suggesting that OPEC will eat pavement, AND the Baaken Shale prospers?
Order pappa j pizza for the first time in years last night, it was about a 2 out of 10 in flavor. I’ll be eating oil before I eat that again!…Doubt if Peyton M. is actually eating those things
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… have you seen that TV ad plugging the NEW Papa John’s pizza topped with Fritos ?
Fritos ???
That is just Pizza Blasphemy !!!
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lol my boss just caught me googling fritos pizza and called me fat, thanks
Fly, any thoughts about $ICPT? TIA!
Well all my holdings fucking reversed..
Anyone have a guess for the bottom in $yelp? I am thinking 54
Never mind. My post bottom ticked it.
Consider the theory of some kind of shadowy group conspiring with the Saudis to push the price of oil lower here. We’ve all heard the conspiracy theory, and I normally disregard such stuff, but look who wins and loses in that scenario:
WINNERS:
– Administration in charge / Dems (didn’t play out in elections, but still helps with popularity in rest of lame duck period and helps Hillary in 2016)
– Blue states (see below)
– Pretty much everyone other than red-state oil producers – tech companies, consumer names, etc.
– Saudi Arabia, in the long run, if the fracking boom is derailed
LOSERS:
– ISIS
– Iran
– Other crapholes like Venezuela
– Red states
– Perhaps most of all, Russia
I have no knowledge of any kind of conspiracy here. Doesn’t it make a ton of sense, though, for some powerful interests to want to see this happen? You’re basically taking out all of the enemies of “America” writ large, and in particular the enemies of the party currently in charge, with some kind of massive slam on oil prices.