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Watch Out: A Correction in Oil is Coming

Sir, your line of reasoning is cogent and you may be correct.In the short term there may very well be a correction in the price of oil, though betting against it would - I must confess - make me rather uncomfortable.
As a value investor I am in no mood of selling my oil stocks any time soon. I strongly believe that we've had a structural change of late, and the old way of reasoning - if I can put it that way - don't hold much oil, ehm water, anymore.
Yes the US will be in a recession ( actually it is already there), and it'll be a nasty one. There will be no decoupling: Europe, China, India and all the rest are going to suffer.
BUT oil has become more a supply than a demand story nowadays and, barring utter catastrophe in the East, the imbalance is not going to correct any time soon, if ever.
As for oil stocks, in a nutshell: they are still, IMHO, ridiculously cheap. Almost across the board. Those who have been selling i.e. Schlumberger lately must be either misguided or have big problems of their own (read bankruptcy coming, selling the family jewels).

I did sell Petrochina a while ago at about 190$, but there you had the relevant decouplig. That stock had ceased to be an oil stock and had become a Chinese one

Respectfully
PG