Higher petroleum price/Carlos Pueblo

 Higher petroleum price/Carlos Pueblo

The inflation is here and makes us notice the higher petroleum price. There are so many products related to the petroleum we call it the oil, i.e. the gasoline, plastic, fertilizer, fiber for cloths, etc. I have invested in an oil company stock for more than 30 years and I am very happy that I can see some recovery from my investment recently because the market sees the intrinsic value of the underground value of my invested company reflecting the stock value, from $40 per barrel of oil to $82.5 now. I am one of those who don't care about the inflation of 2022.

I learned it when I was at college that the petroleum was a main factor of the inflation. I always try to hedge my saving by investing in the petroleum. I have failed miserably during my limited life time. I invested $85,000 cash in the late 80's for two limited partnerships in both the oil field and the cattle breeding. Both failed. I try again in the oil company stock even more after the 90's. I even double down my investment after the century , moving my pension fund as well as some real estate gain to that oil company's stock. Like many investors such as the California government employee pension fund, we miss so much of the high tech rally. We're waiting to get our money out of the oil investment and it seems that the time is coming.

At the final days of 2021, I was required to withdraw $7,200 from a part of my pension fund. I was forced to liquid certain shares of that oil company instead of a Japanese auto company. In three weeks, the sold share was up $11 per share and I felt sorry for myself. Of course, the auto share is up certain as well and my loss should be limited and I also comfort myself that the sold share were the dividend re-purchased.

There are some news released of the oil company which I am in about their new oil reserve discovery. I don't know about the stock market that one time I notice the gasoline price is cheaper than the drinking water, the gasoline power automobile is cheaper than the electric car.