Quick Note on This Morning’s Action

Stocks are bolting higher this morning on the following:

  • President Trump says opec could cut 10 million barrels a day…
  • OPEC calls for emergency meeting…
  • China plans to increase oil reserves…

Energy stocks up 14%, oil itself up 21% as I type…

Makes sense right? I mean, with consumers out of work higher prices at the pump has to be a good thing, right?


Well, other than the prospects for folks paying more at the pump, it does make some sense that traders are bidding stocks higher on the news.


You see, the energy industry is today big in America (employs 10  million people), and, alas, it became that way on a tidal wave of cheap, easy money. I.e., it holds a good portion of the troubled debt I’ve been writing about for months. In fact, the sector realized the highest default rate on junk debt in 2019; when the economy was supposedly in great shape (wasn’t our assessment btw). 


So, yes, the prospects for higher oil prices could be something that would have traders bidding up stocks right here. Problem is, the energy space was becoming a huge problem even before the start of what is virtually certain to be the deepest recession in modern history… 


So, while this could help at the margin, no, this is not the kind of news that’ll take us out of the woods and off to the races just yet…

Share:

Recieve Between the Lines Posts to your Inbox

Sign up for lorem ipsum delores sin.

We care about the protection of your data. Read our Privacy Policy.
vulkan vegas, vulkan casino, vulkan vegas casino, vulkan vegas login, vulkan vegas deutschland, vulkan vegas bonus code, vulkan vegas promo code, vulkan vegas österreich, vulkan vegas erfahrung, vulkan vegas bonus code 50 freispiele, 1win, 1 win, 1win az, 1win giriş, 1win aviator, 1 win az, 1win azerbaycan, 1win yukle, pin up, pinup, pin up casino, pin-up, pinup az, pin-up casino giriş, pin-up casino, pin-up kazino, pin up azerbaycan, pin up az, mostbet, mostbet uz, mostbet skachat, mostbet apk, mostbet uz kirish, mostbet online, mostbet casino, mostbet o'ynash, mostbet uz online, most bet, mostbet, mostbet az, mostbet giriş, mostbet yukle, mostbet indir, mostbet aviator, mostbet casino, mostbet azerbaycan, mostbet yükle, mostbet qeydiyyat