The 2020 Stock Market Crash Thread

Deepdiver

Crow
Gold Member
WTF Did not think this was possible at this Rate Sept $20 options looking like one hellofa trade...

CL=F - Crude Oil May 20
NY Mercantile - NY Mercantile Delayed Price. Currency in USD
-35.2000
-53.4700 (-299.23%)As of 2:31PM EDT. Market open

Pre. Settlement N/A
Settlement Date 2020-04-21
Open 17.7300
Bid -34.7100
Last Price 18.2700
Day's Range -40.3200 - 17.8500
Volume 148,406
Ask -34.7100

Rooskies liable to go to Nuclear DefCon1 against the Saudis...can't give oil futures away today.

Silver lining not much profit for ISIS on their stolen truckloads of oil.
 

Tail Gunner

Hummingbird
Gold Member
Leonard D Neubache said:
I wish to order one thousand barrels of your crude oil. You may deliver the barrels and my cheque for $10.00 to Leonard Enterprises pty ltd.

Reply to Leonard Enterprises pty Ltd:

Your $10 payment has been deducted from your $120,000 daily storage cost. As all oil tankers are now full by other parties, delivery is impossible. Do you own your home free of any mortgages? Our collection lawyers in Perth will be in contact.
 

Deepdiver

Crow
Gold Member
Barron's perspective on Negative Oil Futures quotes...

https://www.barrons.com/articles/oi...ime-ever-51587406408?siteid=yhoof2&yptr=yahoo

Physical oil being sold at pipelines is selling for less than $10 because there is so little demand. Few people are driving or flying as the world hunkers down to deal with the coronavirus.

The decline reflects the logistical limits of the physical oil market—there literally isn’t anywhere to put all the stuff, and not enough producers have closed off wells. Refineries don’t want to buy crude they can’t turn profitably into gasoline, so it is being pumped into storage tanks. The problem is, those storage tanks are now starting to fill up, so no one wants any new oil.

Traders, who might normally pounce on a market dislocation like this, said a trade now is very risky.

“With no place to put the oil it is hard to trade the spot trade that is expiring tomorrow…a very risky bet,” wrote one longtime trader in an email. “Unless you can store the oil temporarily on trucks or ships it is a dead trade. But, shutting down a well is hard and expensive to do so traders and producers are in a bind.”

Oil stocks were falling, but not as badly as the commodity, because most traders expect oil prices to rebound in coming months. Chevron (CVX) was down 3.9%, for instance. Still, significant pain is coming to the oil patch. “Now that we have reached this threshold, the next logical step will be shut-ins and bankruptcies,” Rystad Energy analyst Louise Dickson noted. (Shut-in is the term for closing off a well.)

Western Canadian Select, a heavy crude oil from the Alberta province of Canada, fell below $0 several hours before Texas oil, sparking a call by Alberta Premier Jason Kenney for the government to help the industry. In the U.S., President Donald Trump has tried to stabilize markets by negotiating a global production cut meant to boost prices. Those promised cuts briefly boosted markets, but the lack of demand for oil has been much more powerful.

“Global oil logistical capacity will be tested in extremis this month, as cargoes laden with oil arrive in ports that have no need for ready supply and few storage options to hold the crude until it’s needed,” Bob Ryan, chief commodities and energy strategist, at BCA Research wrote.

In future months, traders expect oil to rebound, creating a remarkable dynamic. Even as oil tumbles below $1, it is expected to rise to $30 by August as coronavirus restrictions are likely to ease somewhat. The spread between Monday’s futures prices is the largest in history.

Write to Avi Salzman at [email protected]
 

Zenta

Woodpecker
Gold Member
Well I decided to pull out the rest of my index funds today. Glad I sold half of them early on when prices were higher. I don't see this getting too much better anytime soon and oil demand increasing in the next few weeks, and if nothing else ill just end up buying back in where I pulled out worse case scenario.
 

Emancipator

Hummingbird
Gold Member
Tail Gunner said:
Leonard D Neubache said:
I wish to order one thousand barrels of your crude oil. You may deliver the barrels and my cheque for $10.00 to Leonard Enterprises pty ltd.

Reply to Leonard Enterprises pty Ltd:

Your $10 payment has been deducted from your $120,000 daily storage cost. As all oil tankers are now full by other parties, delivery is impossible. Do you own your home free of any mortgages? Our collection lawyers in Perth will be in contact.

Why store it?

Let it all burn

:laugh:
 

Enhanced Eddie

Pelican
Gold Member
Neiman Marcus to file for bankruptcy.

This is going to be bad folks... if even a large retail chain with very affluent customers is folding this early in the game.
 

Emancipator

Hummingbird
Gold Member
Meanwhile SHOP hits an all time high (my best and currently only TSX pick)

Bit of anecdote, my friends run various e-commerce ventures mostly of frivolous items, and they're seeing more demand and sales than even Christmas season. Baffling
 

Emancipator

Hummingbird
Gold Member
Enhanced Eddie said:
Neiman Marcus to file for bankruptcy.

This is going to be bad folks... if even a large retail chain with very affluent customers is folding this early in the game.

Owned by Canadians (the national pension plan) via a very leveraged transaction.

Bankruptcy doesn't always mean out of business, they're probably just re-organizing their debt since the stores are closed and there's no cash flow.
 

Mountaineer

Ostrich
Gold Member
Emancipator said:
Meanwhile SHOP hits an all time high (my best and currently only TSX pick)

Bit of anecdote, my friends run various e-commerce ventures mostly of frivolous items, and they're seeing more demand than even Christmas season. Baffling

Because when people don't have God to help them with their suffering they try to fill the void with material items just to feel better for a moment.
 

Deepdiver

Crow
Gold Member
IIRC Half the S&P corps zombies with huge debts due to borrowings for stock buybacks which means all buyback funds now evaporated due to crashed stock prices..

Will be lots of bargains as stocks crash due to negative earnings these next two qtrs.

Dumb financial engineering hit GE and Boeing hard... For the rest good time to use Chapt 11 to renegotiate debt and pensions etc will never have a better excuse than now.


###
 

Papaya

Peacock
Gold Member
Enhanced Eddie said:
Neiman Marcus to file for bankruptcy.

This is going to be bad folks... if even a large retail chain with very affluent customers is folding this early in the game.

Theyve had 20 years to migrate, adapt or supplement from brick and mortar to online...This way over due
 
Learn to trade options, you can make thousands in a few minutes if done properly but you can lose just as much if done improperly. Learn to read greeks. If you dont have a high risk/high reward appetite learn to sell premiums for contracts. Its much more safe and fairly easy money. The next crash if you learn to trade options you can turn 10k into 100k+
 

SlickyBoy

Hummingbird
WomenLuvDeez said:
Learn to trade options, you can make thousands in a few minutes if done properly but you can lose just as much if done improperly. Learn to read greeks. If you dont have a high risk/high reward appetite learn to sell premiums for contracts. Its much more safe and fairly easy money. The next crash if you learn to trade options you can turn 10k into 100k+

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Please tell me this is a spam posting that slipped in. Easy - heh. The SEC goes out of their way to say the exact opposite, with good reason.

Before you can trade options, your broker must approve your brokerage account for options trading. In order to be approved for options trading, you will need to fill out your broker’s options agreement. In an options agreement, you will need to provide information that will assist your broker in determining your knowledge of options and trading strategies, as well as your general investing knowledge and your financial ability to bear the risks of options trading. Based on the information you provide, your broker will determine whether options trading is suitable for you and, if so, what types of options trading may occur in your account.
 

SlickyBoy

Hummingbird
Deepdiver said:
I have been a long term subscriber to some Agora and their Publisher Bill Bonner's newsletters. Most so gold focused as the main alternative to equities in a market "crash".

Stop giving your money to scam artists who laugh at you, like Bonner, Porter Stansberry and the rest of the gang at Agora. They had to pay $1.5 million (combined with civil fines) after being found guilty in an SEC suit. That's just from one newsletter.

This is who their market is:
“Another investor who purchased the USEC Report for $1,000 testified that he sold other investments and borrowed money on a credit card in order to purchase 7,500 shares of USEC stock with the expectation that he would double his money after May 22. That investor lost approximately $7,200 when he eventually sold the stock, two months after the approval of the new pricing agreement was supposed to have been announced....

....Judge Garbis stated: “Pirate sold 1,217 copies of the Special Report at $1,000 per report, and reimbursed 215 purchasers of the Special Report, refunding a total of $215,000. Thus, Pirate’s net receipts for the sale were $1,002,000. Stansberry testified that he received a commission from Pirate for the Special Report sale in the amount of $200,400.
 
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