Forum Home | Log in | Signup | My Page | Rules | FAQ | Boards | Members | Search
« FFFT3 Home | Email msg. | Reply to msg. | Post new | Board info. Previous | Home | Next

Re: Warning: Oil company defaults are coming

By: DGpeddler in FFFT3 | Recommend this post (0)
Sun, 08 Nov 15 6:57 PM | 63 view(s)
Boardmark this board | Food For Further Thought 3 		Msg. 16672 of 65535
(This msg. is a reply to 16670 by clo)
Jump:
Jump to board:
Jump to msg. #


And just wait until the Northeast
gets buried under snow this winter.

» You can also:
- - - - -
The above is a reply to the following message:
Warning: Oil company defaults are coming
By: clo in FFFT3
Sun, 08 Nov 15 5:39 PM 		Msg. 16670 of 65535

Warning: Oil company defaults are coming

The U.S. shale oil boom lured tons of prospectors in recent years.
Oil companies of all hues loaded up on massive amounts of debt to fund rigs and fancy new drilling equipment.

The problem is the companies were banking on oil prices closer to $100 oil when they took on the debt. Now oil is around $45 and no one is expecting prices to hit $100 any time soon.

What that means is the likelihood of unpaid debt has gone up for many companies.

"Energy has been really treacherous. There are going to be a lot of defaults," R. Matthew Freund, chief investment officer of USAA Investments, told CNNMoney.

http://money.cnn.com/2015/11/06/investing/oil-companies-debt-gundlach/index.html

« FFFT3 Home | Email msg. | Reply to msg. | Post new | Board info. Previous | Home | Next