|(screenshot from a finance site, |
underlines and smileys added)
What analysts, commentators, etc. often forget, even if they are sincere, is that behind equities there are companies, and behind companies there are often lots of debt. If a company (typically, an average shale oil company losing money at any barrel price below $150) makes only losses year over year, you can have the nicest possible buzz, the most talented spin doctors, nothing will help. The company will go bankrupt, because no competitor will want to buy it even for one dollar, and this because a buyer would have to take over billions of debt as well. So better to wait for the bankruptcy, buy the assets at a discount price and let the debts live their own fate...
Shameless plug here for my Bullshit Generator.