Reply to: Oil at $25 a barrel

[BrilloPad]

but can it really go as low as $25 ? Isn't the cost of production $40 for most of the oil producing nations , except maybe saudis ?

Maybe they need the money so have to sell at any price? mothballing production can't be cheap?

[Andy2]

http://www.bloomberg.com/apps/news?p...UfQ&refer=home


If it happens, a good chance of quadrupling your money within 3 years using crude oil ETFs.

but can it really go as low as $25 ? Isn't the cost of production $40 for most of the oil producing nations , except maybe saudis ?

[mrdonuts]

http://www.bloomberg.com/apps/news?p...UfQ&refer=home


If it happens, a good chance of quadrupling your money within 3 years using crude oil ETFs.

there is a currency risk though with the oil etfs, as both brent and uso are dollar denominated

[PAH]

Unless or until oil is replaced by something else and the only thing the arabs have to export is sand.

I can't wait.

By then they'll own lots of other stuff.

[PM-Junkie]

Commodities can be volatile, but once oil bottoms it should be a good long term shout no matter what happens to equities in general...

Unless or until oil is replaced by something else and the only thing the arabs have to export is sand.

I can't wait.

[Liability]

Why is the dollar doing so well, and the pound so badly, when the USA seem to be in at least as much tulip as us?

Is it some conspiracy to ease us into the euro? We may as well join if the pound falls below it!

Something that has bothered me as well - USA is in a far worse state and its almost like their position isnt being taken into account.

Id suspect maybe OIL/USD and the fact that its a more stronger currency globally would make it still a preferred investment vehicle?

[lilelvis2000]

What's the trading price of gas? It was allegedly tied to oil. so why is my gas bills still so high.

[PAH]

The strong dollar won't last forever.

Why is the dollar doing so well, and the pound so badly, when the USA seem to be in at least as much tulip as us?

Is it some conspiracy to ease us into the euro? We may as well join if the pound falls below it!

[GreenerGrass]

crickey! Only sure fire money maker is Oil if you can go Long on it as that is sure to rise when things recover.

Commodities can be volatile, but once oil bottoms it should be a good long term shout no matter what happens to equities in general, or even oil companies.
Oil overshot on the way up and it will overshoot on the way down.
The strong dollar won't last forever.

[m__rfield]

http://www.bloomberg.com/apps/news?p...UfQ&refer=home


If it happens, a good chance of quadrupling your money within 3 years using crude oil ETFs.

Mmm... I am pondering this one too. With low low interest rates I'm seriously contemplating risking 25k out of the offset on this. Another 20+ yrs to retirement for me and at least 250k equity tucked away in Moorfield Towers it's seriously tempting.

[Doggy Styles]

LOL - some bargains out there share's wise.

Barclays and HSBC are a flaming bargain if you look at the balance sheet.

But Id estimate some more right offs in the next statement from both so still slightly risky.

write-offs

[PAH]

Yep, better to sell on rallies.

I once tried that, Colin McRae nearly ran me down. Still, I had the last laugh:

[larry]

Cheap oil/gold - strong dollar! Pound in the morgue and set to fall further next year.

[SantaClaus]

Trying to find the low point is like catching a spinning knife.

Yep, better to sell on rallies.

[Liability]

Yeah, I did try to buy a tanker full the other week.

LOL - park it round mine - Ill give you a good rate.