NEW YORK (Real Money) -- Is it time to buy the oils? I keep hearing that over and over again and I am going to give you a severe judgment. The answer is NO. Why? Because there was a time to buy them and that time is now past.
We got a lot of chatter today about buying the oils because we now have seen the report from Exxon Mobil (XOM), the big daddy of the group, and it wasn't all that weak. In fact, the company's 2% production growth was superlative and surprised me. I had begun to believe that Exxon just couldn't deliver on that keen line. Oil giant ConocoPhilips (COP) also reported and that wasn't so weak either, so some traders are saying the worst is over.
That I agree with.
But to equate the "bottom" in oils with Exxon is to overlook what's been happening for months in the patch and to forget that we got a bottom and that was forged in both bravery and common sense.
Oil, the commodity, is now poised in the high $50s after plunging to as low at $43 when Kinder Morgan (KMI) CEO Rich Kinder came on Mad Money and said oil had gotten too low and belonged at a higher level. Kinder does nothing idle. At the same time as his appearance, he shelled out $3 billion to buy the Hiland Partners pipeline from Harold Hamm, the CEO of Continental Resources (CLR) who, when oil was double that $43 price, had come on Mad Money and called a bottom in crude that didn't stand.