By Chris Bailey | Thursday 30 July 2020
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Three months ago here, I discussed how at least Lloyds Banking Group (LLOY) and Royal Dutch Shell (RDSB) were starting to chomp down on the reality pills being given to them by trading realities. I stand by my assertion after today’s heavily red ink-influenced Shell numbers that this is not one I am excited about. I do not think it is anywhere close in working out how to effectively and efficiently invest in areas that could be attractive to shareholders who have cashed dividends for years and years thrown off by ‘black gold’ (which now is perceived – correctly in my view – as the black sludge it always technically was). It is not that oil demand is disappearing, it is that the costs of playing the game are getting higher…
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