The Gold to Oil Ratio since 2018 When the gold to oil ratio approaches 30x, oil is undervalued. When the gold to oil ratio approaches 10x, gold is undervalued. Today, the gold-oil ratio is below 20x. So, neither oil nor gold is undervalued nor overvalued relative to each other. Image: Goehring & Rozencwajg
Crude Oil Reserves in Billion Barrels (Gbbl) The proven oil reserves in Venezuela are recognized as the largest in the world, but by some measures, it is the most miserable economy in the world. Image: howmuch.net
Why Are Oil and Gas Companies Making Massive Investments for the Next 10 Years? Oil and gas companies are making massive investments for good reasons. The energy demand will flatten after 2030 and the oil and gas industry will go through a transition over the next decades. Below is the oil and gas forecast to 2050.…
Oil Is Really a Curse for Venezuela The irony is that the proven oil reserves in Venezuela are recognized as the largest in the world! Picture Source: Bloomberg
Does Surging Oil Prices Cause Recession? Historically, a rise oil prices can cause recession because high inflation tends to lead to higher interest rates. But nowadays, oil shale production in the US limits the rise in oil prices and makes it possible to avoid a future crisis like the one in 2008.
When the next recession comes there is going to be a lot of turmoil says Jeffrey Gundlach Jeffrey Gundlach is the CEO of Doubleline Capital. He speaks about the turmoil, the debts and the risk factor during the next recession. https://www.youtube.com/watch?v=YsSo1rTqMdc
Which of the Following Assets Will Produce the Best Returns? Are FMS investors too bullish on oil? Image: BofA Global Fund Manager Survey
Energy Sector vs. Fed Funds Rate Should investors expect oil prices to fall when the Fed hikes rates? Image: Real Investment Advice
Revision to Consensus Earnings Estimates Rising oil prices tend to drive energy and materials stocks higher. Image: BofA US Equity & Quant Strategy
Gold Price vs. S&P 500 Index and Recessions As the chart shows, gold can underperform for long periods. Investors tend to buy gold when they expect financial or economic turmoil. Image: Real Investment Advice