Shell Share Discussion Threads

[32campomar] 15/3/2020 22:16

Futures just opened & down 5% already. Quite surprising but maybe the huge move by the fed will spook the markets...

[trader365] 15/3/2020 22:11

The fed are out of tools, they only have helicopter money left

[tjdeakin] 15/3/2020 22:11

junior21 Agreed. I have no position here but if I did I'd prefer to see additional buybacks at lower prices rather than keeping a probably unsustainable divi. Unfortunately van Beurden seems to have backed himself into a corner in that regard.

[trader365] 15/3/2020 22:03

lol just a realist, dow futures down. The fed didn't put them up!

[trader365] 15/3/2020 21:58

Perhaps a short lived bounce for a day or two?

[fjgooner] 15/3/2020 21:52

@Stevey82

The key point is that the financial markets are kept functioning normally.

The markets will feel reassured that liquidity is in no danger of drying up during the Covid-19 turmoil.

Investors will feel easier that stocks are on a safer footing and this should lift market sentiment relative to where it would be otherwise.

[trader365] 15/3/2020 21:39

Did the fed also put the oil price up? Did the fed also put the planes back in the sky? Did the fed also reverse the slowing economic growth? Did the fed also pay off the global debt? Did the fed re-open the locked down economies?

[mr roper] 15/3/2020 21:39

Negative, Fb. See SNB.

[fardels bear] 15/3/2020 21:36

Where do they go after zero?

[volsung] 15/3/2020 21:35

The market will see through this. Cities in the US now in lockdown.

[stevey82] 15/3/2020 21:33

Does it really matter how much interest rates are cut, how is it supposed to spur demand if nobody is allowed to leave their damn homes anyway

[watfordhornet] 15/3/2020 21:32

Wow - link please. Where is this stated?

[xxxxxy] 15/3/2020 21:30

254Even if 3500 dead out of population of 60 million. Great odds and Life and Love and Party goes on. Reality.

[essentialinvestor] 15/3/2020 21:20

How many were dead in Italy four weeks ago?.


368 coronovirus deaths reported in Italy today alone.

[xxxxxy] 15/3/2020 21:19

UKOnly 35 have died out of population of 60 million. Seem very good odds of survival and life will go on and people will live and spend and there is a Future.Death is boring. Life is a Party.

[fjgooner] 15/3/2020 21:17

Huge news.

Fed Cuts Main Interest Rate to Near Zero, to Boost Assets by $700 Billion
By Rich Miller and Scott Lanman
March 15, 2020, 9:00 PM GMT



Extract

The Federal Reserve on Sunday cut its benchmark rate by a full percentage point to near zero and will boost its bond holdings by $700 billion to cushion the U.S. economy from the coronavirus outbreak.

The central bank also announced several other actions, including letting banks borrow from the discount window for as long as 90 days and reducing reserve requirement ratios to zero percent. The Fed, along with other major central banks, also lowered the rate on standing U.S. dollar liquidity swap arrangements by 25 basis points.

The Fed will keep interest rates near zero “until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals,” the Federal Open Market Committee said in a statement. “This action will help support economic activity, strong labor market conditions, and inflation returning to the Committee’s symmetric 2% objective.”

[trader365] 15/3/2020 21:17

Fraser whats metrics did you use to calculate those chance percentages and price targets?

[fraser038] 15/3/2020 21:12

80% chance of the Dow going to 10k in 2-3 months. 85% chance of Oil under $20 in same time period.

[loganair] 15/3/2020 21:10

Fed has just cut interest rates to ZERO.

[trader365] 15/3/2020 21:08

"Too big to fail"

Now where have we heard that before? Nothing is too big to fail.

We have a global debt crisis, falling demand, slowing economic growth, an oil price war, economies shutting down, a 43% decline in 2019 income, and dividend cover below 1.

Nobody knows how long the above will drag on.

I think a dividend cut/suspension is a very likely. If they announce a cut/suspension it will be high profile news and the share price will take another hit, one could then be left with a capital loss and no dividend too boot.