Sri Lanka’s state-run Ceylon Petroleum Corp. is in talks with Russian oil companies to import petroleum products, as the Middle East war constrains flows, boosts prices and prompts buyers to look for cargoes. Ceypetco — the only refiner on the strategically vital Indian Ocean island — is in discussions for Russian petrol and diesel, as the crude on offer was not compatible, according to Managing D...
Sri Lanka’s state-run Ceylon Petroleum Corp. is in talks with Russian oil companies to import petroleum products, as the Middle East war constrains flows, boosts prices and prompts buyers to look for cargoes. Ceypetco — the only refiner on the strategically vital Indian Ocean island — is in discussions for Russian petrol and diesel, as the crude on offer was not compatible, according to Managing Director Mayura Neththikumarage. “These will be purely on commercial terms,” Neththikumarage said in a telephone interview on Monday, without giving details. “The Russian government is supporting us to release the products.” The South Asian nation ships in most of its fuel needs and has been trying to secure energy supplies amid the global shock triggered by the US and Israeli war against Iran, which erupted last month. A Russian delegation was in Colombo for talks last week, led by Deputy Energy Minister Roman Marshavin. The country typically sources much of its crude from the United Arab Emirates. Supplies from the region have been reduced — but not halted entirely - by the war, as Iran prevents most tankers from traversing the Strait of Hormuz. Separately, refined products are imported from India and Singapore. Sri Lanka managed to secure 38,000 tons of fuel from India, which arrived in Colombo at the weekend, President Anura Kumara Dissanayake said in a social-media post, without giving details. Elsewhere, the nation’s civil aviation authority said on March 27 local jet-fuel stockpiles can last 59 days, which would allow the national carrier and international airlines to refuel until mid-May. At the same time, however, authorities have announced fuel-price rises and austerity measures to cope with shocks from the conflict. The Russian embassy didn’t immediately respond to a request for comment. Sri Lanka, which sits off India’s southern coast, found itself drawn into the Iran war earlier this month when a US submarine sank an Iranian warship nearby.
z1b/iStock via Getty Images State Street SPDR S&P 400 Mid Cap Growth ETF's ( MDYG ) war-driven share price drop of 8.5% makes it an attractive investment vehicle for dip buyers and long-term investors. The mid-cap growth ETF trades at cheap valuations with a robust earnings growth power compared to the large-cap growth category. MDYG's price momentum and expense ratio are better than other popular...
z1b/iStock via Getty Images State Street SPDR S&P 400 Mid Cap Growth ETF's ( MDYG ) war-driven share price drop of 8.5% makes it an attractive investment vehicle for dip buyers and long-term investors. The mid-cap growth ETF trades at cheap valuations with a robust earnings growth power compared to the large-cap growth category. MDYG's price momentum and expense ratio are better than other popular mid-cap growth funds. Moreover, data shows that the sweet spot of the market has the potential to beat large caps during a recovery phase. Therefore, I initiate coverage of MDYG with a buy rating. Fear Presents a Buying Opportunity S&P 500, S&P 400 and NASDAQ price performance (Seeking Alpha) An extreme fear over the Middle East war triggered a broader selloff in the US stock market, wiping out 8% of the S&P 500 value from its 52-week high. Whereas, the NASDAQ and mega-caps fell into the correction territories, as their prices plunged more than 10% from the latest 52-week high. The mid-cap category, which significantly outperformed large caps in the past six months, has also been responding to the broader stock market volatility. The S&P MidCap 400 Index is down more than 6% since the war broke out in the Middle East. The mid-cap growth ETFs, including MDYG, declined faster than the broader mid-cap index. Stock market performance during and after wars (Investopedia) Legendary investors, including Warren Buffett, use the market volatility as a buying opportunity. I believe it is the time to implement Warren Buffett's strategy of buying when others fear. History tells us that wars can create a temporary decline, with markets sharply recovering losses and soaring to new highs in the short to mid-term. In addition, the market is likely to bottom out shortly, as the current selloff has already exceeded an average decline of 6% during wars. Mid-Caps Seem More Attractive Than Large-Caps Prior to the war, the mid-cap category significantly outperformed large caps as the spree of r...