2005-10-11 06:05:27緋潼羽
Your $$ on the Big “O”
While Katrina left her trails upon the U.S. soil, it also left a tremendous impact upon the North American oil price and other chain effects that comes along with the sky-rocking oil price.
When I traveled back to Taiwan along with my mom in the summer, I had the opportunity to visit various banks with her. During those meetings, I was enlightened to have the chance to listen to the investment plans they were offering.
To tell you the truth, I wasn’t paying any real attention at all! Come on! A reasonable investor should always know what and how the companies s/he is investing before putting any money into the pond. Anyways, that’s my story.
Then, just last week, I was reading another Canadian Business. (Man….recommended by some of my fellow ACS students….) In this issue, they were wildly talking about the oil…the oil price…investments in oil…AND alternative energy resources. (Thank god that SOMEONE is finally THINKING about investing in the alternative resources.) However, there seemed to have two major different kinds of opinion toward oil investment: one predicted that the oil price will eventually come back down to the previous price per barrel; the other simply was the opposite, thinking that the oil price will zoom to the ever ever high peek over the next few years.
I am sure that they all have their reasons to believe in themselves. But if you ask me which one I am supporting? I am going to tell you the first one, the oil price will eventually come down for the five to ten years from now on.
Well~ you guys might be snarling alright. The truth is that do you think the country who is bossy and think they are the “mediator of the world” will just let the oil price rock-‘n-roll after what Katrina have done to his property? Being realistic, I think not. (Or at least he will try to save and grab all the oil he can and then let the price go high :P)
What I believe is that, until the point where the alternative has become a major share of energy in the use of residential lifestyle, oil price will not reach its high point. You might argue that once alternative energy has become the main supplier to the consumers, the oil price should drop down a bit or two. However, the thing is that most of the governments are not really putting most of their efforts into funding alternative energy researching projects. By the time that alternative energy has gain its power in the parliament and market share, it means we (globally) had consumed our oil level up to a point where governments need to start seeking solutions for their people. And which level do you think it is? Of course the red alarm one! That’s the time when oil is going to be scarce and expensive.
So, rest your bet on the Big “O” for a while now, maybe even a year a two when it reaches the previous normal price. THEN, you might want to start paying attention to those government annunciations on applying/introducing alternative resources into our daily life. MAYBE, I am saying maybe, you will start seeing a trend of walking stairs on the oil price then.
When I traveled back to Taiwan along with my mom in the summer, I had the opportunity to visit various banks with her. During those meetings, I was enlightened to have the chance to listen to the investment plans they were offering.
To tell you the truth, I wasn’t paying any real attention at all! Come on! A reasonable investor should always know what and how the companies s/he is investing before putting any money into the pond. Anyways, that’s my story.
Then, just last week, I was reading another Canadian Business. (Man….recommended by some of my fellow ACS students….) In this issue, they were wildly talking about the oil…the oil price…investments in oil…AND alternative energy resources. (Thank god that SOMEONE is finally THINKING about investing in the alternative resources.) However, there seemed to have two major different kinds of opinion toward oil investment: one predicted that the oil price will eventually come back down to the previous price per barrel; the other simply was the opposite, thinking that the oil price will zoom to the ever ever high peek over the next few years.
I am sure that they all have their reasons to believe in themselves. But if you ask me which one I am supporting? I am going to tell you the first one, the oil price will eventually come down for the five to ten years from now on.
Well~ you guys might be snarling alright. The truth is that do you think the country who is bossy and think they are the “mediator of the world” will just let the oil price rock-‘n-roll after what Katrina have done to his property? Being realistic, I think not. (Or at least he will try to save and grab all the oil he can and then let the price go high :P)
What I believe is that, until the point where the alternative has become a major share of energy in the use of residential lifestyle, oil price will not reach its high point. You might argue that once alternative energy has become the main supplier to the consumers, the oil price should drop down a bit or two. However, the thing is that most of the governments are not really putting most of their efforts into funding alternative energy researching projects. By the time that alternative energy has gain its power in the parliament and market share, it means we (globally) had consumed our oil level up to a point where governments need to start seeking solutions for their people. And which level do you think it is? Of course the red alarm one! That’s the time when oil is going to be scarce and expensive.
So, rest your bet on the Big “O” for a while now, maybe even a year a two when it reaches the previous normal price. THEN, you might want to start paying attention to those government annunciations on applying/introducing alternative resources into our daily life. MAYBE, I am saying maybe, you will start seeing a trend of walking stairs on the oil price then.