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  • Write You - Chevron: Will the Drop in the Price of Oil Hurt Earnings?

    Financial Definitions; F thru K
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    hould have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30
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    As Chevron (CVX) will report earnings this week, you may be wondering if it will be beneficial to purchase shares of this company in attempt of earning higher capital gains. You may also be wondering why I am endorsing the purchase of this equity at a time when oil prices are at its lowest point for this year. While such is a valid claim, there is a more profound reason to the success that Chevron will post this week which will surprise many investors throughout Wall Street.

    Since the stock market naturally is a rational expectations market, the information consumed by investors stays recent and continuously changes on a day to day basis. Many of these investors are always trying to look in foresight to how equities could potentially react to certain changes in the economy. While such is typically an insightful proposal, in the case of Chevron, many of these investors should have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30

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    purchase of this equity at a time when oil prices are at its lowest point for this year. While such is a valid claim, there is a more profound reason to the success that Chevron will post this week which will surprise many investors throughout Wall Street.

    Since the stock market naturally is a rational expectations market, the information consumed by investors stays recent and continuously changes on a day to day basis. Many of these investors are always trying to look in foresight to how equities could potentially react to certain changes in the economy. While such is typically an insightful proposal, in the case of Chevron, many of these investors should have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30

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    Since the stock market naturally is a rational expectations market, the information consumed by investors stays recent and continuously changes on a day to day basis. Many of these investors are always trying to look in foresight to how equities could potentially react to certain changes in the economy. While such is typically an insightful proposal, in the case of Chevron, many of these investors should have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30

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    investors are always trying to look in foresight to how equities could potentially react to certain changes in the economy. While such is typically an insightful proposal, in the case of Chevron, many of these investors should have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30
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    hould have a clear sense of hindsight before making hasty predictions. When looking at Chevron, its previous operational results were reported a few months ago in late July. However, the actual 2nd quarter finished June 30th which surprisingly should have more implications than usually thought of.

    Through that one month period between the quarter’s end and the results posted by Chevron, the oil market went through unprecedented territory reaching record highs of almost 80 dollars per barrel. While of course in the recent months oil has fallen dramatically by 25%, such an incredible value should remain in investors mind when thinking of purchasing the stock. The reason I say this can relate back to my premise of how the rational expectations market of the stock market may fool some individuals who impatiently focus completely on future news. Such sentiments sometimes have negative implications as for the 3rd quarter many Wall Street analysts have predicted an EPS estimate of 2.02 for this oil giant. While such a number may sound normal or foreign relative to what it should be, I believe s

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