Equity Research Analysis: Invesco DB Oil Fund (DBO)
|Blank Capital Research Unit|Spot: $14.23
Price$14.23
Composite Score48.2/100
RatingREDUCE (2★)
Rank#2294 OF 7,333
Market Cap$0
ROE
Intelligence Feed
BenzingaApr 8 Negative
Iraq To Resume Oil Exports To Turkey Via Pipeline Shuttered A Decade Ago Amid Kurdish Negotiation Deadlock
In a significant development in the energy sector, Iraq is set to reactivate a previously dormant pipeline to Turkey, which could substantially impact regional oil exports and negotiations. What Happened: Iraq is reviving a pipeline to Turkey, potentially exporting 350,000 barrels per day by month’s end, Reuters reported on Sunday. This move comes amid stalled negotiations with the Kurdistan Regional Government (KRG). The Kirkuk-Ceyhan pipeline, inactive for a decade, offers an alternative to the KRG’s pipeline, which has been closed for a year. Baghdad views the KRG’s oil deals with foreign companies as illegal and demands that companies negotiate with the federal government for oil sales through the revived pipeline. Islamic State attacks halted the pipeline’s operations in 2014. It was responsible for about 0.5% of the world’s oil supply. “Major crude pumping station with storage facilities has been completed,” said Basim Mohammed, Iraqi deputy oil minister for upstream affairs, indicating the pipeline’s readiness to restart flows soon. After an arbitration court ruling last year, the KRG’s pipeline was shut down, citing treaty violations. Discussions to ...Full story available on Benzinga.com
BenzingaMar 24 Negative
EXCLUSIVE: Oil And Gas Aren't Going Anywhere, But Uranium Is Dead — Rick Rule's Keys For Understanding Mining
If there's one sector where contrarian investing should be the rule, it's the mining sector. That's a lesson that Rick Rule, founder and president of Rule Investment Media, learned after being involved in natural resource investing for over 50 years. "As an investor in resources, if you aren't a contrarian, you're going to be a victim. It's as simple as that," said Rule in an exclusive interview with Benzinga's Chief Content Officer Brad Olesen at the 2024 edition of the PDAC Convention in Toronto. Rule highlighted the importance of going against market trends in a sector that's known for its volatility and fluctuating cycles. "These businesses are capital intensive and cyclical, meaning that the cure for low prices is always low prices, and the cure for high prices is always high prices," said Rule. Yet swimming against the current can be a real challenge for faint-hearted investors, as "easy money ends up being hard, psychologically." This means that to be a true contrarian, one needs to invest in commodities that are so deeply out of favor that their selling price tends to be priced below the industry average cost of production. "You have to have the guts to invest in industries in liquidation," ...Full story available on Benzinga.com
Zacks Investment ResearchJun 3 Negative
Will OPEC+ Output Cuts At All Boost Oil ETFs Ahead?
In the latest meeting, OPEC+ agreed to extend production cuts of 3.66 million barrels per day (bpd) until the end of 2025, along with prolonging cuts of 2.2 million bpd until September 2024.
Zacks Investment ResearchMay 3 Neutral
Where Could Oil Go From Here? ETFs in Focus
Oil prices may see a recovery in demand if global central banks start cutting rates by 2024-end, and if supply falls due to the replenishment of the US strategic petroleum reserve and continued OPEC+ output cuts. However, the growing thrust on clean energy is a negative for the long term.
Zacks Investment ResearchApr 24 Positive
U.S. Oil Hovers Around $83: What Lies Ahead for ETFs?
Slowing manufacturing activity may instigate the Fed to cut interest rates earlier-than-expected. While this is a plus for oil ETFs, the U.S. government's efforts to keep oil prices low in the election year may not allow those ETFs to soar ahead.