03 Sep This Week’s Revelations
“Whoa There” Natural Gas!
Natural Gas went from $3.90 last week to $5.27 today! That’s a 35% jump! Talking amongst friends in the industry, we don’t expect the price to stay above $5.25 for too long this month. But, it would not be out of the question to see it go to $6 in November due to seasonal demand. Not seeing a significant drop through Q4…maybe to $4.
Will Oil Follow Natural Gas?
We feel that heating fuel demands plus domestic/geopolitical factors may push prices above $75 in the short term. Most will remember last year’s cold snap and order full tanks for their houses and businesses before the season starts. Holiday travel is a tough cookie to call at this moment to see if it will affect prices in a significant way. Easy call to predict the price won’t get above $80 nor below $62 in Q4. In the past, both products typically follow the same upward or downward trends when supply and demand are real and not market inflated.
“So, what’s the Plan?”
Get investing! Major tax advantages for those who are sitting on too much $$ before end of fiscal year (for many). Good time to look at quick re-entries or reworks to capture peak market price…we just happen to have a few to consider.