Oil, energy... it's all down. That's a fact.
Recession talk has pushed the West Texas Intermediate (WTI) crude oil prices below $105 per barrel this past week - the lowest price we've seen since early May. Similarly, energy stocks have taken a beating because of recession fears. Over the last month, United States Oil Fund, Exxon Mobil Corp., and Chevron Corp. are all down 2.03%, 7.93%, and 16.05%, respectively. That's just to a name a few.
But I'm still recommending that you buy oil stocks.
The reason is simple: The current dip is sentiment-driven. It's all talk. The structural problems that drove oil to such great heights still remain. Russia is still cut off from the world economy, and producers abroad and here in the States are struggling to meet demand.
That isn't going to magically go away once recession talk fades into the background. And while oil and gas companies are trying to increase production, it's a process that's going to take much longer than anyone wants. They can't just magically flood the zone with cash and summon up more oil.
That can only mean one thing: Oil prices are going back up. And when they do, you want to be prepared to catch the next run.
Watch this video for my favorite energy play right now...
[mm_brightcove id=6308582415112]
I know that investors like you are looking for the information and strategies that will prepare you to meet the challenges of this "new world order" we're looking at. The recession is here, and anyone who doesn't already have $1 million in their retirement account is going to be left holding the bag... unless you act fast.
That's why my colleague, Tim Melvin, and I have developed a survival strategy that will not only get you through the crush of inflation and supply chain chaos, but also has the potential to quadruple your money over the next five years.
You can get all the info here...
Follow Money Morning on Facebook and Twitter.
