I never understood oil prices or oil inventories…they often fluctuate in ways that are meaningless to me. but……
The demand for oil worldwide is declining. But oil will still make the world go round. And it will last a long time.
Ammonium nitrate fertilizer comes from petroleum. Without these, we cannot feed the nearly 8 billion people on the planet.
All plastics come from petroleum.
Hydrogen economy? The cheapest way to produce hydrogen is to use natural gas.
Compared with wind, solar energy has a low EROEI. …And is losing some luster. Wind power is currently the largest alternative energy source threatening oil.
Nuclear power is likely to recover. Have a lot of money and R& D is in trouble.Can make nucleoli safer and better than traditional plants
ExxonMobil is undoubtedly investing in alternative energy. I don̵
Oil producers need a certain oil price to maintain their solvency, because generally speaking, as the best oil fields decrease, the cost of oil extraction has been rising. Only Iran and Iraq do have large untapped conventional oil reserves.
The shale oil boom has led to oversupply. Prices often make mining unprofitable.
If prices rise, then consumers have the incentive to further reduce demand. Therefore, oil prices need to be kept within a certain range so that both buyers and sellers can conduct business.
The cost of fracturing oil has dropped significantly in the past five years, which is good news. Cutting costs is the name of a manufacturer like ExxonMobil.
The global conflict has caused oil prices to skyrocket. War is good for oil. The bigger the war, the more important it is.
So….. There are many variables at work, many of which are unknown or unpredictable.
If oil prices fluctuate, XOM’s stock price is also prone to volatility. I will never buy it for a deal…. I don’t really care what the chart looks like…but it’s just me. I am not as agile as an algorithmic trader…or even an ordinary day trader. Agility is important. You can easily become a road killer.
From an investor’s point of view, the best reason to own XOM is in my opinion dividends… and I suspect that unless the company really rises, it will be cut a lot.
I don’t own any stocks…. don’t want to buy any stocks… fun to consider, but I only buy tangible assets.