Has Oil hit rock bottom?

Macke

Is now time to buy? What does this mean for Alberta? nooo

Everytime it has hit such a low it's quickly had a big recovery... right now at $49.. with many people thinking it'll hit 80 or more again by end of the year.

JimmyHo

I hope you acted on your impulse as oil was up big midday. I have been getting killed by oil over the last month. Think I am close to even again so will hope the upward trend continues. There is no reason to the markets.

T8urmoney

Macke wrote: »

What does this mean for Alberta?

Going in the shitter....as usual when the oil price slumps....most oil-based companies have already slashed work forces.....with the ripple effect to come shortly to most industries.

The better half works for an oil valve company...and they've already laid off 30% of staff.

kwsteve

Picture a rubber ball falling to the floor. It hits the floor and bounces up to a certain height. It then falls again and bounces, but not quite as high. This is what is happening with the price of oil right now.

Fracking rigs are shutting down in the US. But, I read that Saudi Arabia will increase production to keep supply at the relative same position.

In the short term, expect oil to continue to fall, but with short periods of rising prices.

However, experts have warned that a sharp cutback in investment could see prices rebound to new highs over the longer term.

If your outlook is long term, now is the time to buy energy stocks.