During these tough times, it is easy to be hasty and to make mistakes. While we all have our theories and opinions, we don’t know when and where the bottom of this fall will be. Uncertainty is very difficult and can be unnerving. It is important to know what to do and what not to do.
U.S. wells waiting on completion may prolong a low oil price.
Sure enough, February saw a rally in oil prices, and in the case of Brent greater stability around $60 a barrel. Since then we have seen restocking by many petrochemical buyers responding to both the rise in crude oil and its newfound stability.
“…It would be hard to bypass.”
Stock prices have remained strong, despite dilution.
“But, if you lose your credit facility, obviously, you become a zero,” says KeyBanc’s Deckelbaum.
Stock-price performance has declined the least after a stock swap, on average.
KeyBanc’s Deckelbaum expects U.S. shale supply to rapidly decline.