Monday, December 29, 2014
Crude Oil may be close to a bottom
I have been very bearish for a long period of time because of the manner the term structure has been moving. But all of a sudden in the past few days, the term structure is beginning to move in the other direction.
I think the time for being overtly bearish of crude oil has probably passed. I think the time for being bullish of crude oil lies a long way into the future.
I'd like to think that Crude Oil will stabilize down here. I cant imagine people are going to go out and rush to buy a new house predicated upon the fact that crude oil prices and Gasoline prices have fallen, but I bet they would go out and buy more a bit more as far as Christmas presents are concerned.
I doubt we will see a great deal lower on crude oil prices from here. The vast majority of the move is behind us... thankfully.
VIA http://www.cnbc.com/id/102285754 on Dec 19, 2014