Mar. 10 at 1:53 PM
$DVN $OXY The front month of WTI still going up on an end-of-the-day basis from Friday. But notice how the disparity narrows as you go out toward 2028 and beyond. So what is the market saying: this is an oil spike caused by a temporary, external shock. As you go out to YE2027, we have a
$4.4 upside (difference). So how much does that add to OXY's FCF?
$4.4 x 2027 volume. The tail-end has to move up or the strip has to flatten for OXY to climb over
$65. From
$50-
$55 is easy money; to
$65 requires turning around an air craft carrier.
