Oil & Energy Investor by Dr. Kent Moors

Most People Won’t Notice This Date – But You Can Profit From It

by | published August 17th, 2019

History is chock-full of significant dates.

December 16, 1773: the Boston Tea Party…

November 9, 1799: the French Revolution ends…

November 11, 1918: Armistice Day…

September 11, 2001: the World Trade Towers are attacked…

And hundreds of others.

You’d be hard-pressed to find a date that isn’t significant in any way, in fact.

However, it’s not just important historical dates that people remember. There are minor instances as well. For example, January 28, 1813 is when Pride and Prejudice was published, and in 1979, the first erasable pen was invented.

These days, you’ll find people celebrating National Donut Day, or Left Handers Day, or International Siblings Day.

I can’t say I keep track of things like that, but there are certain dates that I make particular note of.

The next one on my calendar is August 21, just a few days away.

Here’s why

On Inversions and the Price of Oil

by | published August 16th, 2019

Crude oil prices were showing signs of stabilizing this morning after one of the more volatile weeks in recent memory. Much of this instability resulted from ongoing concerns about global demand, themselves in turn fueled by angst over a worldwide recession.

As I have noted here in Oil & Energy Investor on several previous occasions, that view is based more on sentiment than anything else.

The tangible data justifying it is a full six months into the future. Prior to the numbers hitting, this is all fodder for speculators to run short moves in a true Chicken Little “The Sky is Falling” motif.

Nonetheless, it does have an effect and the rising concerns of a global slowdown do have an impact in how much oil analysts believe the world economies will require.

Of course, the next geopolitical tension blowup or transport interruption promptly causes the pendulum t swing in thither direction. For a bit, supply overcomes demand as the target of attention and prices spike back up.

One thing is certain. Any approach regarding the energy sector as independent from other considerations is as artificial as a three-dollar bill.

However, another aspect of the “impending recession doom” view hit this week and resulted in an immediate downward pricing pressure on oil.

This is the bond yield inversion