Market Update 06/01
The market has started the year nicely with a quick +1% gain. But the funnymentals from last month remain a weak domestic consumer, a confused global trade situation where manufacturing plants are re-aligning and setting up facilities outside of China and have a look at oil. I’m ignoring the news about a WW3 and Iran’s oil output won’t put a dent in the global supply figures. But this event has definitely boosted oil prices slightly faster than I expected. If anyone has a good EP play in Thailand (ex PTTEP) or the region do let me know.
peter satrapa-binder
iran’s oil output won’t make much of a dent – but if there should be some resulting problems in the strait of hormuz that might put a dent in the oil exports of saudi arabia, kuwait, bahrain, the uae and katar – and THAT would be a little bit more calamitous…
Pon
Yes however I assign a low probability to it.
peter satrapa-binder
sure, at the moment it’s all speculations – but it seems that both sides in this conflict are not always entirely rational…
Pon
And Boom first retaliation, oil has spiked +4%, it’ll be a noisy month.
peter satrapa-binder
either a noisy month or a noisy year.