Markets and Investments Outlook
Gold is dramatically down. Oil is down, and the DJIA continues to drop. The last thing on the news in the market was an online poll asking viewers if they “Have Faith in the Fed?”
This question answers itself. The markets are going through a massive sell-off. People are not scared, they’re terrified. But what is really happening? People are crawling into a shell and soon they’ll need to do something with their money.
The only thing people want to put their money in today is tangible assets.
It has been predicted by some that gold was due for a slight pullback, and it came. Others went on to say that Brent Crude would soon be interpreted as the true index for oil.
Currently, the WTI Index – the US oil market – spot price is hovering around $80, while Brent still remains at $105 per barrel. Professional industry analysts are saying that Brent more closely reflects the true value of crude.
When watching the stock market dramatically drop again, people will do what they do every morning… eat breakfast, brew some coffee, and drive to their job. On the way to work, one can see that everyone else is still driving to work, and trying to go about their normal day.
This represents how the markets will move forward: people still need to eat, and they will still need energy to power their homes and businesses.
At this time we believe, considering the current market scenario, that the investment strategy people should focus on is Return OF Investment, as opposed to Return ON Investment.
Just like today’s breakfast, coffee, soybeans, corn, wheat and sugar will always be in demand. These commodities require energy – just like that commute to the office. The crude oil and natural gas industry will always be critical from the farm to the table.
On October 1st starts the final fiscal quarter of the year. Season-wise, it will be winter. That means the food industry becomes even more dependent on oil and other forms of energy, including natural gas. During the last several winters we’ve seen more and more severe weather nationwide. If this trend continues, space heating will become an issue. This will put upward pressure on natural gas, and the delivery of propane and other byproducts require crude oil.
Anyone who watches the financial markets on TV are experiencing the equivalent of sitting in a casino. These shows are all about bright colors, trendy music, distracting charts and other things to capture your attention. Today, like many other days in the past, people are losing faith in paper and other intangibles.
For anyone who wants to put their money into tangible assets, it is suggested people look into oil investments. This website specializes in working with small business owners, and has over 10 years of experience in the oil and gas industry.
About the Author
David Madder of investments-and-acquisitions.com is one of the oil industry’s leading professionals. By bringing various oil well development projects to market, Dave and his team have acquired the experience necessary to be considered nothing less than an expert in their craft. His extensive writings on the oil investment market are one of the reasons he has been asked to Contribute to gasandoilnews.com
thanks for the info, any low budget projects out there?