RE: No flights, transports restricted - Production is steady - Tragedy yet to come18 Mar 2020 11:08
Having bought BP before it all went belly up, I'm trying to be realistic. A vaccine will be available in 12-18 months. Brent will average 20-30 dollars this year. BP have said there is $3 bn capex that can be drawn upon. BP has 15 years of oil and gas reserved in the ground, so capex can be pared again this year and next. I believe the 42 cent dividend will be paid this year. GLA
RE: Lead crashed 6% today to 52 week lows18 Mar 2020 08:59
Copper having a bad day. The tenge continues to devalue against the dollar, down 7% since Monday, due to the oil price plunge and Kazakstan's dependence on it. They raised interest rates last week, to no effect, and have decided to not interfere further. It is considering raising taxes for mining companies to raise revenue, lost to lower oil income.
A number of companies putting out statements along the lines of 'We are in a robust financial position, but it is appropriate at this time, to focus on retaining resources'. There are going to be a lot of dividends getting cut over the next few months.
Brian Gilvary, BP CFO has just been on Ian King Sky show. Main points, BP has 20% flexibility in its capex this year. BP has $30bn in liquidity available to company, compared to $2.5bn at the time of the Macondo oil spill. He expects oil prices of $20-30 to last for up to a year. I can handle that scenario.
Arsenal, for someone who professes to be a seasoned investor, you seem to be falling apart. Time to find your inner 'Mother Theresa' that you were displaying only recently. Blessed are the peacemakers!
Everybody scared of what the weekend will bring. 64 hrs until Monday opening seems a long time in this world. The Dow is still well above the 18000 level when Trump was elected, while the FTSE is back at Disraeli levels.
Oli, Italy is interesting. It's death rate now exceeds Wuhan, the epicenter of the whole shebang. Is it cultural, the Italian DNA seems resistant to any authoritarian direction. As it spreads, I do think Italy will prove to be an outlier and warning to the rest of Europe to wake up. RMG at 140 does not feel cheap in the carnage taking place.