Deep Dive – November 2019

Published on: November 28th, 2019

Last December, Julian wrote about whether the shale sector would be able to pay its debts and maintain production growth. Recent high-profile defaults have shown his concerns were well-founded. Going forward, production growth will be slower, which has important implications for the wider economy, US credit markets and even global oil prices.

Comments

  • AP
    Alfonso P.
    1 December 2019 @ 14:53
    3 0
    Julian, on August last year you produced a fascinating short video about macro, could you please consider doing an updated piece again? Thanks AP
    • JB
      Julian B. | Contributor
      5 December 2019 @ 23:46
      0 0
      Hi Alfonso. Sorry I've produced a number. Can you be more specific? Do you have a link perhaps? Regards
  • JL
    J L.
    2 December 2019 @ 11:50
    0 0
    Hi Julian are you still betting on EDH22-EDU23? What levels would make you think about getting out of this? I imagine you will be rolling the contracts every 3 months or so as long as it remains in the current range?
    • JB
      Julian B. | Contributor
      5 December 2019 @ 23:50
      1 0
      Hi JL...Yes I think like those but they need to be rolled. So that you are running the constant ED10 vs ED 16 or ED10 vs ED20. Both are plays on a weaker economy and higher unemployment
  • wj
    wiktor j.
    4 December 2019 @ 18:20
    1 0
    But wont make all this news push the oil price higher? Next year perhaps? Hedgeye put out a free video dicussing this topic. I am not as bulish as they are but i am putting up oil companies on my watch list.
    • JB
      Julian B. | Contributor
      5 December 2019 @ 23:52
      1 0
      Yes Wiktor ultimately a squeeze on US shale supply should be bullish. PS If the $ starts to turn lower that could be the real kicker