With oil prices collapsing to between $ 50 / $ 60 a barrel (at the time of writing), their lowest for six years, oil companies around the world have been slashing development budgets on projects that now don't make economic sense.
Energy sector is reacting like it did back in 2008, but at that time we had financial crises along
with oil price collapsed that forced more liquidations.
The year opened
with the oil price collapse, with obvious implications for regional investors.
Not exact matches
With oil, which is traded internationally, prices collapsed (mainly) because the Saudis have flooded the market with supply in an attempt to retake lost market share from U.S. producers — whom also drilled too many successful we
With oil, which is traded internationally,
prices collapsed (mainly) because the Saudis have flooded the market
with supply in an attempt to retake lost market share from U.S. producers — whom also drilled too many successful we
with supply in an attempt to retake lost market share from U.S. producers — whom also drilled too many successful wells.
By contrast, economic growth in Canada contracted in the first half of the year and business investment — the most important factor in demand for imports —
collapsed along
with oil prices.
In recent years, investors have had to cope
with plenty of uncertainty: three summers worth of the Greek default crises (2010, 2011, 2012); the US «fiscal cliff» in early 2013 and the government shutdown that October; the Ukraine - Russia conflicts; the
collapse in
oil prices; China's slowdown and currency devaluation; and now, Brexit.
Anadarko (APC) had more than just
collapsing oil prices to contend
with in 2014.
With the
collapse of global
oil prices, the largest recyclers like Waste Management have reported sharp drops in recycling revenue and stagnated recycling rates across the country.
Canada still is coping
with «material excess capacity» because of the
collapse of
oil prices.
With the collapse of manufacturing many unemployed young workers migrated to Alberta, Saskatchewan, and Newfoundland for resource - extraction jobs, but employment growth in that sector has now largely evaporated with the falling price of
With the
collapse of manufacturing many unemployed young workers migrated to Alberta, Saskatchewan, and Newfoundland for resource - extraction jobs, but employment growth in that sector has now largely evaporated
with the falling price of
with the falling
price of
oil.
With the
oil and natural gas markets stabilized, at least for now, investors should begin considering which companies could emerge from the rubble of the
oil price collapse to see their stock
prices double or triple in the next few years.
To begin
with, the economic devastation to Texas from the
collapsing price of
oil is just beginning.
Some big
oil and gas companies have filed for bankruptcy protection this year in connection
with the
collapse in
oil prices.
Gross domestic product grew by 4.9 per cent in Alberta,
with the
oil - producing province recovering from two straight years of falling output following the
collapse of
oil prices.
With China's currency crumbling,
oil prices collapsing and the U.S. stock market brushing its low for the year earlier this past week, you shouldn't panic.
U.S. Dollar strength and disinflation, supported by the ongoing
oil price collapse, are providing headwinds for the metals; on the other hand, a recent rise in fear in the euro area, combined
with continuing loose monetary policies, result in favorable conditions.
U.S. shale
oil producers have responded to the
oil price collapse so quickly, and
with such discipline, that they've shown they are able to turn production on and off as if
with a light switch.
With the
collapse in crude
prices, lower
oil revenues are hitting Alaska hard.
More than three years after
oil prices collapsed,
with crude
prices stabilizing in the $ 50 — $ 70 range,
oil and gas executives are allowing for a bit of optimism again.
The official share of bad loans in Russian banks is now 10 %, compared
with 6 % before
oil prices collapsed.
Russia was hit hard by the
oil -
price collapse,
with sanctions making the situation even worse.
When this distribution system start getting problems (due to
oil prices getting too low) in combination
with high circles corruption — then the system
collapsed.
At that time, the bank decided to take a pre-emptive move to support the economy to deal
with the economic effects of the
collapse in
oil prices, cutting its key rate a quarter point to 0.75 per cent.
Beginning
with the «profit recession,» it has become fashionable to describe the deterioration as a function of the
price collapse in
oil and gas.
With economic growing steadily, market in a RISK on mode,
oil price going higher, this bull market could head north for another 4 - 5 years taking into account any possible flash to reach ~ 90000 YES, ming - boggling number ~ 90000 before market
collapse half Almost everyone says that it is IMPOSSIBLE to predict the future
price.
While funding such spending
with debt is always a bad idea, it now looks like sheer lunacy in light of the
oil price collapse.
I mean, if the share
price of a company
with substantial proved & probable
oil reserves falls almost two thirds in a year (not to mention the
collapse from its highs), what hope is there for the punter who falls for the real no - hopers?!
On the flip - side, since October, Ryanair Holdings (RYA: ID) & Aer Lingus Group (AERL: ID) have surged as
collapsing oil prices & sentiment really started to sink in
with investors.
Albertans in particular have been hit the hardest
with commodities,
oil and gas stocks
collapsing to 2008 financial crisis levels, real estate
prices stagnating while the rest of the country tests new all - time highs, and now two impending tax increases thanks to those voting for change in the provincial and federal elections.
And we're talking about an unconventional
oil & gas project here, and a farm - out deal signed literally a month before the
oil price collapse (in mid-2014)-- today, we're in a horrible environment,
with resource companies (large & small) slashing expenditures simply to survive, and focused solely on their lowest - cost / highest - probability prospects.
This mind - bending report points to a prolonged period of rising
oil production, particularly in the United States (for reasons laid out below), and a potential
collapse in
oil prices,
with all kinds of implications for security, international politics, the economy and, without doubt, climate.
The
price collapse, combined
with the credit crisis, choked off investment in new supplies and the Paris - based IEA has repeatedly warned the
oil market could surge back, damaging still fragile economic growth.
Carbon trading programs have been an abject failure and
with the
collapsing price of
oil, there is no market for such credits in the foreseeable future.
He added of 2015 - 16: «On the one hand we had an M&A boom in developed markets during calendar 2015, while on the other hand clients also had to contend
with a slowdown in China, the
collapse of
oil and commodity
prices and rising uncertainty over the UK's referendum on whether to leave the European Union.»
Throughout 2015, Venezuelan President Nicolas Maduro pleaded
with OPEC members to stabilize
oil prices, warning of imminent economic
collapse in his country.
The local economy, while still shaking off the effects of the
collapse in
oil prices, is reflecting signs of a turnaround, according to a report by commercial real estate services firm Cushman & Wakefield, which represented BlackRock in the transaction
with Hines.
While most companies have spent the past few years enjoying the current recovery, Cousins Properties had to deal
with the effect of
collapsing oil prices in the Houston market.