The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Long term there's nothing to worry about!
This will hold up fine once the world settles down and cash flow and eventually dividends attract genuine investors. Its been a traders share for ages. But it'll settle down especially when markets start to correct. There's still nowhere else for cash to go bar Into stocks. Nobody wants cash and bonds return feckall. Ride the bumps and me personally I'm doing nothing atm.
Quote from Macro investor Raoul Pal on oil, pointing to near term collapse in economic growth stateside as a catalyst etc...
"The thing Ive got my eye on for that, is oil...this pattern could be a wedge but I think its more likely to resolve as a GMI Crash Pattern, bringing oil back down to $70 to $80"
He has absolutely nothing to do with airlines or oilers FYI. Hope he's right
I think stocks could be in for a tough May. I just wish I knew how it would affect IAG. Imo we're cheap atm and cash flow is increasing massively, that's what investors are looking for in bearish cycles.
if oil does go lower, we might buck the negative trend
How long before oil companies have balanced the market or create a glut?
I worked for a North Sea service company for 5 years through the last boom, I remember the frantic rush to produce oil while we were above $100. Have to assume the worlds producers are all thinking and behaving the same.
Reckon we'll see lower oil soon. Probably $80, we'll move in the opposite direction.
I've said this before, the shorters are almost always right. They've started reducing, hopefully it's continuing I'm the background. But I'd wager the next week will see that position reduced and we'll be north of here.
American will continue to match its forward capacity with observed bookings trends. Based on current trends, the company expects its second-quarter capacity to be approximately 92% to 94% of what it was in the second quarter of 2019. American expects its second-quarter total revenue to be 6% to 8% higher than the second quarter of 2019.
Medium term this is only going up. Even macro economics isn't taking IAG lower than pandemic levels. Cash flow is the big focus for investors going forward. No more crazy multiples for stock based on future earnings, markets dont want risk atm. Eventually this will be priced appropriately.