Crude Oil Collapses - Again

  • You are viewing Orangepower as a Guest. To start new threads, reply to posts, or participate in polls or contests - you must register. Registration is free and easy. Click Here to register.

NotOnTV

BRB -- Taking an okie leak
Sep 14, 2010
9,292
6,730
743
Gondor
Not sure when I bought oil stocks but it was about the same price per bbl as it is not. I think it was late '80s early '90s. They are my largest position. I'm a fan of Exon, the others are peripheral investments as far as I'm concerned. I almost bought NGL a while back and know am damn glad I didn't.

Edit: It was 1/89. Oil was about $35-$40 a bbl.
Were you shitting bricks a few weeks ago?
 
Sep 29, 2011
1,267
285
713
60
Breckenridge, CO
Not sure when I bought oil stocks but it was about the same price per bbl as it is not. I think it was late '80s early '90s. They are my largest position. I'm a fan of Exon, the others are peripheral investments as far as I'm concerned. I almost bought NGL a while back and know am damn glad I didn't.

Edit: It was 1/89. Oil was about $35-$40 a bbl.
If anyone thinks crude oil centric stocks are risky, natural gas liquid stocks are whole other level of beyond ultra risky.
 
Sep 29, 2011
1,267
285
713
60
Breckenridge, CO
A bit, but I've seen this before and no one cut their dividend or did a second offering (like NGL) that I'm holding. These stocks are for the dividend whore inside me. :)
What is the excuse for gas to be going up? Wasn’t may oil almost free
It’s a very complicated dynamic. In the simplest terms, the guys refining the oil aren’t usually the guys selling the gas at the pump. There are marketers in between that are dealing with local and regional supplies to meet local and regional demand. Add transportation costs from multiple distribution points and it quickly becomes almost impossible to try to tie the recent price of oil to the pump prices.


Sent from my iPhone using Tapatalk
 

Duke Silver

Find safe haven in a warm bathtub full of my jazz.
A/V Subscriber
Sep 17, 2004
27,736
14,005
1,743
Cozy's Bar
It’s a very complicated dynamic. In the simplest terms, the guys refining the oil aren’t usually the guys selling the gas at the pump. There are marketers in between that are dealing with local and regional supplies to meet local and regional demand. Add transportation costs from multiple distribution points and it quickly becomes almost impossible to try to tie the recent price of oil to the pump prices.


Sent from my iPhone using Tapatalk
Ok. So when oil goes down gas doesn’t and when oil goes up gas doesn’t?
 
Sep 29, 2011
1,267
285
713
60
Breckenridge, CO
It’s a very complicated dynamic. In the simplest terms, the guys refining the oil aren’t usually the guys selling the gas at the pump. There are marketers in between that are dealing with local and regional supplies to meet local and regional demand. Add transportation costs from multiple distribution points and it quickly becomes almost impossible to try to tie the recent price of oil to the pump prices.


Sent from my iPhone using Tapatalk
Ok. So when oil goes down gas doesn’t and when oil goes up gas doesn’t?
It’s complicated.


Sent from my iPhone using Tapatalk
 

bleedinorange

Federal Marshal
Jan 11, 2010
17,741
32,267
1,743
In Pokey's head
Ok. So when oil goes down gas doesn’t and when oil goes up gas doesn’t?
Not as up on these things as @GumbyFromPokeyLand, but it involves when it was purchased (before refining) future projected costs and supply on hand. All of which have nothing to do with day to day cost per bbl. It is complicated as gumby says, well beyond my ability to further explain.
 

StillwaterTownie

Federal Marshal
Jun 18, 2010
17,344
2,273
1,743
Where else but Stillwater
A bit, but I've seen this before and no one cut their dividend or did a second offering (like NGL) that I'm holding. These stocks are for the dividend whore inside me. :)
Better dividend stock is Wal-Mart. It has raised it's dividend every year since 1974. Back then I should have been struggling to save up enough money to buy at least 100 shares of stock in Wal-Mart, rather than saving up money to buy my first car. The price of stock in Wal-Mart in 1974 has grown from 3 cents a share. Now just over $125 a share.
 
Last edited:
Jan 11, 2010
17,741
32,267
1,743
In Pokey's head
Better dividend stock is Wal-Mart. It has raised it's dividend every year since 1974. Back then I should have been struggling to save up enough money to buy at least 100 shares of stock in Wal-Mart, rather than saving up money to buy my first car. The price of stock in Wal-Mart in 1974 has grown from 3 cents a share. Now just over $125 a share.
Walmart dividend yield is 1.69%. Exxon is 6.6%.
 
Sep 29, 2011
1,267
285
713
60
Breckenridge, CO
Better dividend stock is Wal-Mart. It has raised it's dividend every year since 1974. Back then I should have been struggling to save up enough money to buy at least 100 shares of stock in Wal-Mart, rather than saving up money to buy my first car. The price of stock in Wal-Mart in 1974 has grown from 3 cents a share. Now just over $125 a share.
Walmart dividend yield is 1.69%. Exxon is 6.6%.
PAGP is 8% tax free until your distributions total your purchase price - now about 12 years.


Sent from my iPhone using Tapatalk
 
Nov 6, 2010
1,435
524
743
So I'm hearing a lot about the work from home movement becoming much more ingrained and even being mandated by several companies moving forward. I know this has been a long time coming anyway with the technology available, but seems it is really going to be a seismic shift moving forward.

So, if telecommuting becomes the norm, does that mean oil prices may never really recover? The other ramifications of this are pretty substantial as well, with both residential and commercial real estate being affected. Auto sales?? I think this factor will end up being the largest economic impact of the whole pandemic.
 

Duke Silver

Find safe haven in a warm bathtub full of my jazz.
A/V Subscriber
Sep 17, 2004
27,736
14,005
1,743
Cozy's Bar
So I'm hearing a lot about the work from home movement becoming much more ingrained and even being mandated by several companies moving forward. I know this has been a long time coming anyway with the technology available, but seems it is really going to be a seismic shift moving forward.

So, if telecommuting becomes the norm, does that mean oil prices may never really recover? The other ramifications of this are pretty substantial as well, with both residential and commercial real estate being affected. Auto sales?? I think this factor will end up being the largest economic impact of the whole pandemic.
It needed a nudge. It got the nudge. Apparently people are more productive at home.
 

OSUCowboy787

Territorial Marshal
Dec 31, 2008
6,987
6,000
1,743
32
Keller, Texas
As someone who has done it for a long time, I can tell you it cuts both ways. But that is more of a human nature/psychology issue, certainly not technology anymore.
Same. Having worked full time remote and worked with people who do. If you don't have the right people they will most definitely get LESS done if anything at all. Others will work 80hrs a week and not even realize it.
 

osupsycho

MAXIMUM EFFORT!!!
A/V Subscriber
Apr 20, 2005
4,853
2,770
1,743
Valhalla
So I'm hearing a lot about the work from home movement becoming much more ingrained and even being mandated by several companies moving forward. I know this has been a long time coming anyway with the technology available, but seems it is really going to be a seismic shift moving forward.

So, if telecommuting becomes the norm, does that mean oil prices may never really recover? The other ramifications of this are pretty substantial as well, with both residential and commercial real estate being affected. Auto sales?? I think this factor will end up being the largest economic impact of the whole pandemic.
My company looks to be moving to a work from home permanent setup with maybe going into the office one day a week. They have already come out and said production is actually up and the cost savings from not having people in the offices were much more than they thought it would be (ie electricity, heat and air, etc). I am betting they are also looking at how much that rent costs them and can be cut down or eliminated.
 
Nov 6, 2010
1,435
524
743
Same. Having worked full time remote and worked with people who do. If you don't have the right people they will most definitely get LESS done if anything at all. Others will work 80hrs a week and not even realize it.
And it's not just the qualities of the individual employees, although that is certainly significant. There are so many factors. For myself, I missed the office, and how just being there kept me more engaged with everything that was going on. There were countless times when I'd overhear something one of our CSR's were about to do, and had the opportunity to step in and do some retraining, etc. Sure, there are certain projects where being removed from the office lets you be more productive, but there are also ones where being in close contact make you more so. There are mental health and team building aspects of the office too, and I don't think anyone knows how that will ultimately impact things. Then you get into the actual nuts and bolts of what each company does, and then down to what each individual employee does on a daily basis, all will play huge into the ultimate productivity impact.

I have a feeling that ultimately this will prove to lower productivity if implemented as fully as the trend seems to indicate. However, I'm not sure if it will outweigh a two hour round trip commute each day for a lot of your typical big city workers and all that entails. One thing is for sure, we are about to find out. The genie is out of the bottle, and whether people miss the office or not, they certainly don't/won't miss the commute, and I don't think most will be willing to go back to it.
 
Nov 6, 2010
1,435
524
743
My company looks to be moving to a work from home permanent setup with maybe going into the office one day a week. They have already come out and said production is actually up and the cost savings from not having people in the offices were much more than they thought it would be (ie electricity, heat and air, etc). I am betting they are also looking at how much that rent costs them and can be cut down or eliminated.
Most definitely, that is where the commercial real estate market is IMO going to be really shaken up over this. I know there are tons of small businesses like the one I work for, that have the traditional office/warehouse shared space. No way we renew that lease after this if I were to guess. I think we'll start to see a lot of outsourcing of fulfillment and the office segment of the space going completely to work from home. I like your company's idea of a one day per week or so idea for keeping people connected, but I think when that benefit is weighed against the ability to completely eliminate facilities expense, your company will probably opt for the latter. Even to the point where conference room rental spaces in major hotels may really get a jump. ONe thing is for sure, there will be major shifts in the way we do business moving forward.
 

oks10

Territorial Marshal
A/V Subscriber
Sep 9, 2007
8,916
7,128
1,743
Piedmont, OK
So I'm hearing a lot about the work from home movement becoming much more ingrained and even being mandated by several companies moving forward. I know this has been a long time coming anyway with the technology available, but seems it is really going to be a seismic shift moving forward.

So, if telecommuting becomes the norm, does that mean oil prices may never really recover? The other ramifications of this are pretty substantial as well, with both residential and commercial real estate being affected. Auto sales?? I think this factor will end up being the largest economic impact of the whole pandemic.
If we keep working from home I don't think oil will never recover but it certainly will slow it. Part of the issue has also been people avoiding getting out to go ANYWHERE, not just work. After we get through all of this then recreational travel should pick back up.

I've been working from home the last month (I guess, I've lost track by now, lol) and I actually get the same work, if not more, done while I'm home because I don't have the distractions and all the people that would be bugging me in the office keeping my from getting my work done. Plus I work outside of just my 7-4 shift since I'm not having to worry about the traffic getting home. I commute 30+ minutes with my current shift (missing that 4:00 departure by even just 10 minutes bumps that out to an hour commute). I'm not so crunched for time at home because I can easily keep working after 4 and then if I'm bored in the evening I can work some more. We're a production facility and while the office staff have been working from home, production has continued like normal. When business picks back up we definitely won't be able to have office staff work from home every day because we still have to support the production floor but I definitely wouldn't hate a mixed shift going in some days, working from home on others.