ENERGY SECTOR VS OIL PRICES

worthiness · 1 ENERGY SECTOR VS OIL PRICES Tue Jan 19, 2016 12:09 am

worthiness

Senior Vice President - Equity Analytics

Posts : 2577
Equity Stars : 8946
Reputation : 115
Join date : 2011-04-08

Serious tumbling of global oil prices has witnessed the deep plunge of energy related stock markets from west to east. Situation may aggravate further as predicted the prices may reach to $20-25 range as said that oil market is oversupplied.

What would be the outlook of energy related stocks in the CSE, as it seems no price reversal to happen very soon. Considerable price reduction of gas, fuel, gasoline & kerosene is to be expected that could bring adverse effect of energy stocks. Who are the parties that badly affected in energy sector of the CSE.

VALUEPICK · 2 Re: ENERGY SECTOR VS OIL PRICES Mon Feb 08, 2016 1:31 pm

VALUEPICK

Expert

Posts : 3326
Equity Stars : 11297
Reputation : 347
Join date : 2014-02-26

Oil prices are plummeting. Still global consumers are not getting full benefit. Oil is cheap but not Airfares. Even in some developed courtiers different places charge different prices for motor fuel (petrol).

I believe oil should go up by around 20%. In other words oil should average around $37 in 2016/17. Sometimes it can go down to around $15 before reach $37. On the other hand, gold could go below $500 in 2016/17.Still socks will outperform bond in 2016/17.

Commodity users are real winners in the coming years.