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Jun 2, 2009 - Penny Stock News

AR Index     554.93  +48.67  (+9.61%)

Stocks of individual interest
Toyota  81.72   +6.40
GM        0.75      -0.68
Ford      6.13     +0.87

Dow 8721.44  +444.12   (+5.37%)

With all the semi-uncertainty last week about whether GM would file bankruptcy and what would happen as a result, GM stock lost almost half its value in the last week. It's actually not quite to penny stock territory, but that 75 cent price tag might induce some speculation, even by small investors, in the GM that might emerge out of all this.

Speaking of speculation, the current run up at the pumps, for no apparent underlying supply or demand reasons, shows that those commodity markets are still not quite right.

But as much as the media wants to whip this up into a crisis again, a comparative look at oil prices from April 15 to June 1 for this year and last shows we're not in the same place.

Remember, last year when speculation (and that's all it was) drove the price of oil close to $150/bbl it crashed pretty hard afterwards, getting back down to under $40.

I think public pressure is going to stop this nonsense well before we approach those levels again.

2:49 am | Categories: ar index, automotive news, gas prices Permalink | Alert Administrator

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