Rig counts are a 18-month leading indicator for oil field production. So if you know that oil production will go down next year, I would bet on rising oil prices.
The oil price is a leading indicator for rig counts. If you see the oil price (green line) go down, the rig count (blue line) will go down as well. Later on, the oil production (red line) will go down.
Oil price = Green line
Rig counts = Blue line
Rig counts = Blue line
Oil production = Red line
Geen opmerkingen:
Een reactie posten