Friday, August 12, 2005
Oil & Doughnuts - though Chanukah's nowhere in sight
Filled up my little Nissan Sentra today - cost me $25. A year ago, it was $15. I shudder to think what SUV drivers must be paying as their contribution to the Saudi Arabian Treasury.
Anyway, as a way of hedging against the seemingly usntoppable rise in the price of petrol, I bought an oil stock last month - 100 shares of Bois D'Arc (NYSE: BDE) at $15.42. They're now worth $16.90, so I figure I've purchased about $150 worth of price rise protection thus far. And I may need all the help I can get, given that Goldman Sach's prediction of $100 a barrel oil is not looking so far-fetched these days.
Of course, this strategy of buying stocks to protect oneself from the rising costs of necessities does not always work. For instance, last year I bought some Krispy Kreme stock, figuring that the climbing share price would help finance my indulgence in those heavenly artery cloggers. Unfortunately, you only need to take a look at KKD's price chart to understand why I've reluctantly switched my allegiance to Dunkin' Donuts.
-LSD
Anyway, as a way of hedging against the seemingly usntoppable rise in the price of petrol, I bought an oil stock last month - 100 shares of Bois D'Arc (NYSE: BDE) at $15.42. They're now worth $16.90, so I figure I've purchased about $150 worth of price rise protection thus far. And I may need all the help I can get, given that Goldman Sach's prediction of $100 a barrel oil is not looking so far-fetched these days.
Of course, this strategy of buying stocks to protect oneself from the rising costs of necessities does not always work. For instance, last year I bought some Krispy Kreme stock, figuring that the climbing share price would help finance my indulgence in those heavenly artery cloggers. Unfortunately, you only need to take a look at KKD's price chart to understand why I've reluctantly switched my allegiance to Dunkin' Donuts.
-LSD
# posted by goldstar @ 3:04 PM 
