BP

Well apparently the containment dome did not work. It will take BP 90 days, at best, to drill a relief well. Any predictions on the stock price over the next couple of months if there truly isn’t much BP can do? By the way, is BP’s liability as the oil well owner capped at a particular amount or are the cleanup/disaster damages unlimited?

I think the stock price will be interesting to watch over the next week. I say maybe a 10% drop at most. Maybe resistance in the 45 dollar range. Honestly, if this gets out of hand (and 2010 is the year for sh*t to get of hand apparently) then we can expect the yields on muni bonds in the effected area to soar. Thank god i’m the Atlantic coast. Anyone else hear about the current that pulls water from the gulf all the way up the east coast? That would be a fun disaster to think of. “Oil spill threatens 50% of continental American coastline.”

Capped at 75mm atm based on laws. But expect Congress and Barack to change things.

adehbone Wrote: ------------------------------------------------------- > Capped at 75mm atm based on laws. But expect > Congress and Barack to change things. liability limited at $75MM. They are 100% responsible for remediation and clean up costs.

ASSet_MANagement Wrote: ------------------------------------------------------- > Anyone else hear about the current that pulls > water from the gulf all the way up the east coast? > That would be a fun disaster to think of. “Oil > spill threatens 50% of continental American > coastline.” Yeah, that’s called the loop current, and basically it could bring the spill all the way down through the Keys (which will be terrible for the coral reefs) and then up the east coast of FL. I’m in Clearwater and I’m just crossing my fingers that we don’t get anything washing up. I could actually smell oil the other night…it depends on the wind direction. What a terrible mess. The only good thing is, it should stop future offshore drilling…especially off of FL. At one time they were talking about going 3-10 miles off our coast, so that would have been horrible!

chrisclwtr Wrote: ------------------------------------------------------- > ASSet_MANagement Wrote: > -------------------------------------------------- > ----- > > Anyone else hear about the current that pulls > > water from the gulf all the way up the east > coast? > > That would be a fun disaster to think of. “Oil > > spill threatens 50% of continental American > > coastline.” > > Yeah, that’s called the loop current, and > basically it could bring the spill all the way > down through the Keys (which will be terrible for > the coral reefs) and then up the east coast of FL. > I’m in Clearwater and I’m just crossing my fingers > that we don’t get anything washing up. I could > actually smell oil the other night…it depends on > the wind direction. What a terrible mess. The only > good thing is, it should stop future offshore > drilling…especially off of FL. At one time they > were talking about going 3-10 miles off our coast, > so that would have been horrible! I’m in Miami and I go to Ocean Reef about once a month and it would be turrible if we got oil… Good thing I broke up with that girl from Naples! EHOH!

I thought you sounded familiar.

I like the name!

I’m mainly relegating myself to the BO now, lol. BP is holding strong too, just following the market really. It’ll be interesting to see what “extraordinary costs” show up on their round of statements.

Wow, BP got thumped on the head today. Shares lost -15% today putting the total loss at close to -40% since the spill began. I’m glad we recommended CVX to our clients several months ago…I would have been on some crappy phone calls otherwise.

Met a broker from Edward Jones in the gym yesterday, his exact words; “We started buying BP when the news of this came out.” I nodded and walked away.

Is anyone getting into this thing yet? Or is it a don’t touch with a barge pole issue? Haven’t followed the share price action, but tempted to accumulate if this is overblown.

Muddahudda Wrote: ------------------------------------------------------- > Is anyone getting into this thing yet? Or is it a > don’t touch with a barge pole issue? Haven’t > followed the share price action, but tempted to > accumulate if this is overblown. I think once the US media has had it’s run with BP it would be a good time to start $/cost avg into the stock. I read an article saying that BP is now a potential take over target (maybe 8% chance) b/c so much value has been eroded. I personally think BP won’t accept any offer below 25% of what their shares were on April 19th. Remember, the pendulm swings in two directions…

I think you run away and buy some DO or something instead. Buy another one that is down in sympathy that has no ties to this mess. Why get involved? The risk reward doesnt seem that great - so if you are right you double your money over the next say 3 years. If you are wrong, you are looking at further downside and then being mired in litigation for years. Or you could buy another one and almost assuredly make 30-40% in a lot quicker time frame. No litigation, no guesswork.

HighYielder - like your thinking. Makes a lot of sense does that. Will check out the peer group.

Coast Guard reporting that the saw got stuck in the riser pipe. 0 for 4 now?