How to Invest in the Energy Sector
May. 17, 2016•0 likes•117 views
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http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy-sector How to Invest in the Energy Sector The energy sector has taken a beating since the plunge in crude oil prices. Eventually all markets bottom out and there are profits to be made on the rebound. The question is how to invest in the energy sector in preparation for an eventual recovery. According to Investopedia the energy sector is a stock category that relates to producing or supplying energy. This sector includes companies involved in the exploration and development of oil or gas reserves, oil and gas drilling, or integrated power firms. Performance in the sector is largely driven by the supply and demand for worldwide energy. Energy producers will do very well during times of high oil and gas prices, but will earn less when the value of energy drops. Furthermore, this sector is sensitive to political events, which historically have driven changes in the price of oil. A broader definition of companies providing energy is the energy industry. Although the prices of stocks in this larger definition are affected by the price of crude oil these are not all oil-related stocks. Here is a wider breakdown of the energy sector. Petroleum Industry: Oil companies, petroleum refiners, fuel storage and transport services, gas stations, oil exploration companies, companies that supply technical equipment such as for inspecting deep water drilling platforms Gas Industry: Companies involved in natural gas exploration, drilling and extraction, coal gas manufacture, storage, transport and sales Coal Industry: Coal mining companies, transport (railroads)
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How to Invest in the Energy Sector
- 1. By www.ProfitableInvestingTips.com
- 2. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector The energy sector has taken a beating since the plunge in crude oil prices.
- 3. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Eventually all markets bottom out and there are profits to be made on the rebound.
- 4. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Before We Continue… Click the links below to get your FREE training materials. Free Weekly Investing Webinars Don’t miss these free training events! http://www.profitableinvestingtips.com/free-webinar Forex Conspiracy Report Read every word of this report! http://www.forexconspiracyreport.com Get 12 Free Japanese Candlestick Videos Includes training for all 12 major candlestick signals. http://www.candlestickforums.com
- 5. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector The question is how to invest in the energy sector in preparation for an eventual recovery.
- 6. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector According to Investopedia the energy sector is a stock category that relates to producing or supplying energy.
- 7. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector This sector includes companies involved in the exploration and development of oil or gas reserves, oil and gas drilling, or integrated power firms.
- 8. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Performance in the sector is largely driven by the supply and demand for worldwide energy.
- 9. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Energy producers will do very well during times of high oil and gas prices, but will earn less when the value of energy drops.
- 10. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Furthermore, this sector is sensitive to political events, which historically have driven changes in the price of oil.
- 11. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector A broader definition of companies providing energy is the energy industry.
- 12. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Although the prices of stocks in this larger definition are affected by the price of crude oil these are not all oil- related stocks.
- 13. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Here is a wider breakdown of the energy sector.
- 14. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Petroleum Industry: Oil companies, petroleum refiners, fuel storage and transport services, gas stations, oil exploration companies, companies that supply technical equipment such as for inspecting deep water drilling platforms
- 15. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Gas Industry: Companies involved in natural gas exploration, drilling and extraction, coal gas manufacture, storage, transport and sales
- 16. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Coal Industry: Coal mining companies, transport (railroads)
- 17. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Nuclear Power Industry: Companies that design, build and maintain nuclear power plants, uranium mining operations, spent fuel storage facilities
- 18. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Renewable Energy Industry: This category includes the building and maintenance of hydroelectric dams, wind and solar power facilities, biodiesel and corn alcohol operations, energy extraction from biomass such as vegetable or animal waste
- 19. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Research: Government funded or assisted projects such as attempts to develop nuclear fusion as a practical energy source.
- 20. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector How to invest in the energy sector will depend on where the market is in terms of the price of crude oil and the efficiency of other sources of energy in comparison.
- 21. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector The production of so-called gasohol from corn is a case in point.
- 22. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector The Rise and Fall of Gasohol
- 23. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector How to invest in the energy sector can be to find an alternative fuel that is competitive with gasoline.
- 24. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Such is the story of gasohol. Gasohol is mixture of one part ethanol (grain alcohol) and nine parts of unleaded gasoline.
- 25. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector This product was viewed as a God send in the America corn belt where it was expected to greatly increase the market for corn.
- 26. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector When oil prices rose corn-produced alcohol became more competitive and the likes of Bill Gates were investing heavily in alcohol production and gasohol mixing facilities.
- 27. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Many of these turned out to be bad investments when the price of oil plummeted.
- 28. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector According to AG Professional corn prices are going down next year even though more corn is going to ethanol production.
- 29. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Corn used to produce ethanol is projected 50 million bushels higher than in 2015/16 with a reduction in sorghum use for ethanol and higher expected ethanol blending.
- 30. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Exports for 2016/17 are projected 175 million bushels higher than this month’s upwardly revised projection for 2015/16.
- 31. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector More competitive prices and reduced supplies and competition from Brazil support gains in U.S. exports for 2016/17 and 2015/16.
- 32. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector U.S. corn ending stocks for 2016/17 are projected at 2.2 billion bushels, up 350 million from the 2015/16 projection.
- 33. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector Investing in any part of the energy sector requires that you learn the details.
- 34. http://profitableinvestingtips.com/investing-tips/how-to-invest-in-the-energy- sector In short, when the price of oil goes up all parts of the energy sector prosper and when oil falls all parts of the energy sector feel the pain.