Latest Market News in 2020: Insurance Opportunity – Oil Prices – World Economy
Due to this national lock-down, most insurance companies have had to adapt and alter their underwriting limits for non-medicals. This means, you could possibly get some amazing coverage without having to go through the traditional full medical underwriting (at home testing).
We’re bringing Adam Buss, our in-house Certified Financial Planner, Wealth & Estate Planning Specialist back on The Tetrault Show to chat about the latest on new insurance opportunities for you and your family.
For more details on coverage limits, you can view our 2-page Financial Planning & Insurance Guide below:
We’re doing a back-to-back on the show and bringing in my father Claude who’s a member on the team here at Tetrault Wealth Advisory Group.
He brings a ton of stock market knowledge and expertise to the table having worked in the trenches of this industry for over +40 years. He’s been through the good times and the bad.
Claude’s done it all from being an advisor, a bond trader, an investment banker, a philanthropist, a business owner, a real estate developer – and yet his deep passion for finance drives him to keep coming back to the office every day (remotely nowadays) to help the clients of the Tetrault Wealth Advisory Group.
I’ve decided to bring him on to share some of his stories and talk about Monday’s historic day in the energy sector with the price of crude oil futures plummeting (Monday April 20th 2020).
In case you missed it, the short term price for a barrel of oil moved to -$37 on Monday, a drop of about $50, if you can believe that. It was the first time oil had ever traded in negative numbers, and something that is very difficult to understand.
In a nutshell, if you were “buying” a contract to accept delivery of a future barrel of oil, not only would you be getting a barrel of oil, but you would have gotten $37 in addition to that barrel.
Because all conceivable storage was full, and because no one was wanting any of that oil, this was the classic definition of no demand and tons of supply. In reality, oil prices were only negative for a very brief moment in what is sometimes called a speculator “squeeze”.
Some people trying to speculate on future prices of commodities got caught holding the proverbial hot potato and weren’t able to exit the position without incurring huge losses. The very next day the commodity came back in positive numbers, but oil is still down a lot in 2020, another direct impact of lack of demand caused by Covid-19.
I was asked about it on Tuesday April 21st 2020 on Global News. If you want to see me sharing my two cents with Gabrielle on the historic moment in the Global News Morning Market Business report: CLICK HERE