West Texas Intermediate and Brent crude futures were trading roughly flat at $72.12 and $74.19 a barrel, respectively, on Thursday after surging earlier in the week.“This summer could once again mark inflection points in multiple energy markets, similar to summers in recent years, instead of a ‘summer lull’ that lures market participants into a false sense of complacency,” Citigroup analysts warned in a note this week.
Other analysts are also bullish. Goldman Sachs likewise expects strong prices to last, and advises investors to get more picky about the stocks they bet on. It ranks Canadian oil producers as the most attractive at current levels, because they are poised to produce more free cash flow. The Canadian companies have lagged behind their U.S. brethren, and thus have more potential upside, writes analyst Umang Choudhary.
More MUST-READS on COMMODITIES Goldman also likes some U.S. producers that can similarly benefit from high prices and spending discipline. Their favorite pick is Devon Energy because it has a strong position in the Permian Basin, the most productive area in the U.S., and has committed to return more cash to shareholders. Other top picks include Diamondback Energy and Hess .
Ohhh. i wonder which middle eastern country is next. 10 bucks on iran.
Short term play
Forgot $PGAS