Between 1974 and 2013, there is little evidence that lower oil prices (in either dollar or percentage terms) have had any effect on economic growth (real GDP), interest & inflation rates or stock prices. In the last decade, as Brazilian country risk receded, Vale expanded its reach both in terms of reserves and markets well beyond Brazil, and its market capitalization and operating numbers (revenues, operating income) reflected that expansion. Vale was founded in 1942 and was entirely owned by the Brazilian government until 1997, when it was privatized. You could adopt the very dangerous contrarian strategy that Vale and Lukoil must be cheap simply because they have dropped so far, but I don't have the stomach for that. With both Vale and Lukoil, there are both explicit and implicit reasons to believe that investors in these companies will have little or no say in how the company is run. This is not to say that you will easily make money, but you should get a feel for what is right and what is wrong. At Skyline Markets scam or other dubious investment options are filtered out right at the beginning through the arduous screening process. Supply and Demand is important, however what I felt most important is to understand the BBs profit taking and short selling process so that when he short you follow, and when he is taking profits, you are taking it with him and so yesterday was just a profit taking day for me and rest.
My investment timing clearly left much to be desired but selling it today will not get me my money back! Generically, there are four viewpoints that you can have on oil prices: that they will continue to decline (the momentum story), that $60 is the new normal price ($60 is the new $100), that they have fallen too far and will bounce back (the contrarian play) or that any of the above (price agnostic). While declining commodity prices have affected both companies adversely, note that Vale’s stock price has dropped more than twice as much as BHP’s stock price has. You may not be a market timer or oil price forecaster but oil prices do have an effect on your portfolio and perhaps on your investment strategy. The oil price exposure that I have in my portfolios reflects investments that I have made over time in stocks that I perceived as good value at the time that I made them and were not designed primarily to increase my oil price exposure. If I choose to sell them, it will be because I don't view them as good value, given oil prices at the time of the assessment, any more and not because I have a point of view on oil prices.
In the long term, the general consensus seems to be that lower oil prices will be good for the economy and perhaps, even for stock prices. If you enjoy research and reading about markets and companies, investing in individual stocks would be a good way to start investing in stocks. Research in Motion is a strong buy below $55 per share. 2) The expected dividend is $2.50 for a share of stock priced at $25. stock Market - The Dow Jones Futures are down around 65 points this morning. Mark Hulbert’s analysis led him to the same conclusion: relief rally, yes, market bottom, probably not. Yes, there were others before him, but they were nothing in comparison to the Apple. With Vale, the first sign that corporate governance is weak is the fact that they have two classes of shares (and yes, I would make this argument about Google and Facebook as well). I personally would not, since it is entirely possible that the momentum game that was so firmly against Facebook last year might work in the other direction now. With most records being stored and shared on desktops, many legal practices are now turning to legal document management systems to stay organized and efficient.