rb

If the price is negative are you buying or are you selling?

Your discount broker will close your account because they don't have storage at Cushing and they will never talk to you again. Chances are good to receive hate mail from some VP at said broker.

Have a storage tank at Cushing. Edit: An empty storage tank ;D

I think brent already switched to the june contract. But if you were a refinery and needed some barrels wouldn't you wanna buy here? Hell if you live around Cushing and have a swimming pool it may be worth it to fill it with WTI. Seems nobody is buying. I think come tomorrow there's gonna be some pissed off brokerages that are gonna start looking into how they go about storing oil.

CL1 expires this week. so anyone who didn't want to take physical delivery of oil had to sell/roll to next month. Shortly, CL1 will become June contract which is trading at 22.55. The 7 dollar oil is just fodder for the media. Although it makes me wonder how many people were trading these futures without understanding they needed to get out ahead of the crowd to avoid this kind of reverse squeeze. It's not just fodder for the media. It's at these levels because nobody wants to take these barrels. June contract @22 has more to do with price of storage rather than the price of oil. Apparently the were some idiots that bought about 500.000 barrels of the may contract on Friday. Indicators point toward retail investors.

Anybody else seeing CL1 trade with a $7 handle? Or am i starting to hallucinate from cabin fever?

I now support Donald Trump's decision to defund the WHO. https://www.cnbc.com/2020/04/15/drinking-alcohol-can-make-the-coronavirus-worse-the-who-says-in-recommending-restricting-access.html?__source=twitter%7Cmain

Do you really think that the oil ppl will under any circumstance vote D? Also how is this helping shale patch voters? Last time I checked you don't need a lot of people to not drill.

Maybe it's because they have stronger immune systems due to living in squalor and unsanitary conditions?

Berkshire just got 17 million shares of OXY. https://www.sec.gov/ix?doc=/Archives/edgar/data/797468/000114036120008878/nt10010921x2_8k.htm Edit: Looks like it's dumping it all.

Herr Dicktator is pure Cialdini genius. Buying votes legally. And it will work because people won’t know that Congress has the power of the purse, not the Executive. When this guy is out of office, he should teach a MasterClass in how to fool some of the people—after all, what do you expect from a longtime casino operator? LOL! Congress should insist that the cheques be signed by "The Nancy"! ✍

I'm waiting for another day of Corona fueled enthusiasm to sell my AAPL shares.

Feel better?

WOW! You know shit really hit the fan when an oilman gets introspective.

I'm in one of those places and it's really not that bad. 1. A lot of people began self distancing/isolating before government orders went up. Surprisingly most of the people that didn't were the elderly. 2. You kind stayed at home because there was nothing else to do. Most fun places shut down because market forces driven by point 1. So you don't go anywhere cause there's nowhere to go. Again this was before any government order. 3. I was really annoyed by the document thing. But they're really not being nazis about it. Police is pretty cool (not like US/Canada) as long as you have a valid reason to do something you get no trouble. I don't do a new one every day. I just cross out the date and put a new one. Haven't had any trouble. They're just trying to enforce the social distancing order. If you're trying to be a dick about it there will be trouble. There was a town that had a higher population of the "criminal element" that were having street parties and the like. Spike in COVID cases there. They've sent special units (police and military) to break that up. It was done. No shots were fired. Nobody killed. 4. Senior citizens have dedicated shopping hours. From all that I can tell is that you're having a shutdown and it's being very professionally run. It is a huge economic cost and they're making sure it counts. No abuse or nonsense.

Yeah. But they also have much lower NIM than other banks so it doesn't matter as much.

It's just a slogan. Same as KFC is "Finger Likin' Good". Not "Diarrhea and Heart Disease".

Something stopped them from trading in 2009/2010?

Boris Johnson was a big fan of heard immunity for the UK and wanted to get it done as fast as possible. You want to ask him about his thoughts on the subject again?

Sorry Spek, I didn't mean to sound like a prick, it just came out that way. It'll be definitely interesting to see how it plays out. Just like with the great recession this is a shock and an aftermath (deleveraging). With the great recession we didn't do much during the shock period except pile sand bags (AIG etc). During the aftermath we did some but not enough. There was some stimulus but not as much as needed because "we couldn't afford it", China actually did way more stimulus and they bounced back pretty quick. Now we're doing lots of stimulus during the shock part. Somehow we can afford it despite being in a significantly worse fiscal position than back then ???. But the shock is much bigger this time and it's not clear whether stimulus would be as effective - can't spend money at a bar if there is no bar. How we deal with the aftermath is gonna be key though. Is there gonna be another $2 trillion bill stimulating the economy 1+ years from now or are we gonna go to we did what we had to but now we can't afford it? Somehow I don't have a lot of faith in the US Congress. It'll be pretty hard to duplicate the Great Depression as long as you banks stay healthy though.

Wasn't that the Great Recession?

Well, some of those consumers will keep their Energy sector and related jobs of course. And did this not register at all? Well very few of those consumers will keep their energy jobs. Your quote about what should happen when prices rise is also bullshit. 1. Nobody is talking about that except guy on the internet. Right now it's straight tariff. Straight subsidy. 2. You notice how there is full backstop when oil prices are low, but only progressive taxation when oil prices are high. Why progressive? Why not progressive backstop when shit hits the fan. 3. Even if something like that were to be implemented it will be bullshit. Because after x amount of years you'll have a Republican administration that will come in (invariably when oil prices are higher) and remove it because it's "socialism". Of course that will last until oil prices crater again and they'll need a little more sacrifice from the consumer in order to save jobs. If you need more proof look at Dodd-Frank. You bail out the banks. Huger protests, Tea Party movement. We put in Dodd-Frank to prevent banks fro doing that shit again. Republican administration comes in. What do those Tea Party dudes do? Vote en-mass to weaken Dodd-Frank. 4. The oil companies will never go for it or work to weaken it the moment they don't need it (see 3). What is described around here is roughly the equivalent of Canada's National Energy Program way back when. These days of course the oil companies would benefit greatly from a National Energy Program and would love to have one in place. Back the Alberta's (Canada's Texas) answer to the NEP was "Let the Eastern Bastards Freeze in the Dark". That about summarizes the goodwill of the energy producers. 5. It's been amazing for me for this past couple of weeks to discover this new species. The bleeding heart Conservative. Socialism is horrible. That is until oil companies are loosing money. At that point we must put away our differences and work together to save hard working oil patch jobs. But aside from that, special attention should be paid to the extremely vulnerable high yield-bond holders, oil investors, and oil executives. After all they're also someone's mommy and daddy.

They already do much of the same with utilities. So there’s steps that can be taken without completely turning everything upside down. Berkshire, the ultimate capitalist company, finds this setup compelling enough to represent a significant portion of their business portfolio. Bottom line is O&G is and has been a shit show for sometime. It’s volatile, for many actually massively value destructive, and probably outside of auto, run by the worst types of people. I don’t invest in this space for much of these reasons, but I mean to at the least, be able to understand why certain measures are currently being taken to protect things(irrespective of agreeing or disagreeing with the action) is not hard. But of course, here’s Dalal again with his Trump conspiracies and loudmouth rambling, foaming at the mouth just waiting to accuse all others of the same things. Governments, especially in times of crisis, have demonstrated they will do whatever is necessary to prop up the country. Yes, bailouts, subsidies, money printing, etc. You don’t have to like it, but you’re a fool if you don’t understand that this is what they do. Pretty much every time. Energy is on the brink, so expect them doing and saying whatever it takes. Except they're not talking about any of that. They're talking about a tariff. Which is direct financing from the consumer to the oil companies without any responsibility. It's the ultimate money grab for these guys. If you get a $20/bbl tariff tomorrow there will be so much green on O&G equity and credit it'll look like Ireland on St. Patrick's day. Where did that money come from? From the pocket of the consumer. Who gets nothing for generating so much value for these guys. You see it's not that the sector shouldn't be helped. It's that they don't want to pay anything. Even the banks had to pay. This is basically the most corrupt bullshit I've seen and I've seen a lot.

Sure. So nationalize the oil industry and regulate output. Wouldn't even cost very much right now.