Do you think oil may drop below $100 before October?
As a result of this which sectors and types of companies will benefit most in next 02 years. Do you think strong rebound in stocks markets through out the world before October?
I think so.
Thanks in advance.
Best Answer
123 points
BILLYJ65 answered one year ago …
absolutely, and the best way to play this is with the Ultra-Short oil and gas ETF - DUG. I'm up 30% in the last month on this ETF and oil has only dropped about $25 a barrel. Another $25-35 per barrel should get me 30-40% more ROI. Look for slight dip on Monday and early Tuesday of next week. Then about midmorning on Tuesday it will start to shoot up again (barring any unusual political unrest or hurricane scaremongers). It will rise Tuesday, Wednesday, and most of Thursday before a little more profit taking starts. Some profit taking appears on Late thursdays and Fridays because some people don't want an unexpected rise in crude over the weekend before the markets open on the followng Monday morning. Study the charts for the past several weeks and it happens just like this week after week. I'm loving it.
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2775 points
Oldman answered one year ago …
If oil drops to 70-75/bbl, it will still be above its 5 yr trend. I don't think that will happen, even as it has declined 15% over the past few weeks.
The economic problems facing the global economy are two-fold: a growth in demand for materials + a debasement of fiat currency, via bailouts and central bank interventions...NZ has recently lowered the high rates, and Australia's housing/banking sectors are following those of the U.K. and U.S. Meanwhile, millions of Chinese and Indians and others in the developing countries are reading the ads for "new wants", such a i-Phones; there's an explosion of credit card issuance in China; a need for tremendous investment in infrastructure in India, and China, and a horrific inflationary drive, both wage and materials-driven in those countries. Neither their politicians or economists have a clue as to how to handle this...and if it were here, in the U.S., I don't think there would be any sane solution, either.
