Dan Celia Provides Voice of Reason as Hysteria Around Coronavirus Continues to Hit the Markets And The Oil Sector
PHILADELPHIA—As oil prices plunged over the weekend due to coronavirus concerns, nationally syndicated host and biblical investing authority Dan Celia will discuss today and all this week on “Financial Issues” how the global health scare is impacting the markets.
The Oil Sector Will Continue To Plummet
"Today is the day we have a black swan on top of a black swan-something that hopefully we will never see again and has never happened before," Celia said. "This, obviously, will make for a very rough day in the markets. Some expect that the Federal Reserve will cut rates further. I hope that is not the case since this, like everything we’ve seen for the past four weeks, is transitory.
We are coming off incredibly volatile back-to-back weeks. It looks like we’re headed for a third, now that the oil sector will continue to get pummeled because the OPEC meeting fell apart, with OPEC pursuing a total reversal and increasing production at a time when demand is down. I’m not sure Russia has made the right move in this chess game. Oil companies here in America will be reducing rig count dramatically, and we will start to see layoffs in the oil sector.
Oil and beyond: What investors should do
“I know there is a bit of a frenzy in the media right now, but this is not a time to join with them,” Celia added. “This is a time to sit still and not make any moves in your portfolio if you are a long-term investor. My greatest concern is that oil companies and some utility companies will begin cutting dividends, and this will hit income investors hard. If you are one of those, you should understand that there is no place to go, and best thing you can do is sit tight and maybe at some point down the road buy a few more shares to increase your income when the dividends start coming back into the markets. Stay tuned.”
Celia discusses these and other global and economic headlines on his daily, three-hour “Financial Issues” program, heard on more than 660 radio stations and several television networks nationwide, including FISM.TV, viewed on several post-cable television platforms and online.