Not just BP and Shell, but pretty much everything else. they are moving their money to real estate. Hopefully the sell off will stop now.
The new Saudi PIF SEC (Securities and Exchange Commission) filing, shows that their investment strategy radically changed during this last quarter.
The Saudis got rid of their entire shareholdings in: Facebook, Disney, Marriott, BP, Shell, Boeing, Citigroup, Pfizer, Qualcomm, Broadcom and Bank of America.
Instead they have made massive new / extra investments in real estate and utilities, totalling $4.70billion (approx £3.58billion). As well as this, there have been significant investments in lower risk baskets of stocks and other securities that help increase diversification. In other words, in these virus impacted times in particular, the Saudi PIF selling off stakes in individual higher risk investments / companies, instead going for safer options such as property and utilities, as well as spreading their other stakes / risks over a large number of stocks / companies.
Link to Saudi's decision
https://www.themag.co.uk/2020/08/new-saudi-pif-investment-filing-points-to-why-they-pulled-out-of-newcastle-united-takeover/
Teddy, I had a punt at IAG when you said they are panicking, buy. I bought 3.05, and sold at 2.10 when Quantas informed that their long haul flights won't resume until Q2 next year. Since then I have surfed 3 waves 290/310 with BP and made 10k profits, while iAG diluted it is holding and went below March lows. You would have been better off by staying with BP.
https://www.cnbc.com/2020/08/21/us-bonds-in-focus-as-investors-monitor-fresh-economic-data.html
Watch for Saturday's discussion with the US congress, the fed is putting pressure on justifying a 3T stimulus. I think it will go to 3.00/3.10 quicker than you think. the faith of this stock is discussed during the pre-market, if you don't take a position it jumps past you in no time.
I think the main reason is the lack of tech stock on the FTSE, cyclical and recovery stocks are lagging. This country failed at incubating and promoting start-ups and take advantage of the new economy. This is why we should not be afraid of the green movement and the opportunities that comes with it, if you don't adapt you die.
https://www.dailymail.co.uk/news/article-8642827/Why-British-stocks-lagging-markets-recovered-coronavirus-losses.html
@jeganator, It may go down by a few cents, but this is a good entry point, it is my opinion. The lack of positive news is keeping the price low, it is now just BP but all cyclical stocks, we had positive oil inventory draw last nights, and us retails numbers are showing higher than expected customer spending in the US. Markets are low due to uncertainty around the next stimulus, but rumours are it could come on Saturday as Congress will meet. if you are risk-averse, wait for the stimulus to be confirmed, by then the SP may be higher than 2.90. My view is this will go up and down for some time.
If you read my post I always been against that 3.50. I made 5K last month trading the 280*315 range , 20 k on my cfd account over 16 weeks and an other 30K on my cash and isa, you trow stupid numbers out of the blue. When the stimulus is approved this will rocket for anoher profit-taking and you shorters will make no profit, the markets may correct by another 20% but we won't see March levels.
Thanks crxyz, an other draw last week, this should help the SP a bit.
https://uk.investing.com/news/commodities-news/oil-stockpiles-fell-42-million-barrels-last-week-api-2192362
''Us markets not looking good fell below psychological barrier of 28000'' What are you talking about ? ...at the current level, the Down Jones is at all-time high since March...May I suggest that you post on Yahoo Finance message board?