Guggenhein Shipping ETF (SEA) popped Friday because of the Egypt thing. The media wants investors to be scared and stay tuned. CNN keeps speculating that the Suez Canal may shut down. Here is the prediction.
The Suez Canal will stay open.
The revolt is from the street not from Al Queda/Extremist Islamic Groups which seeks to harm the west. Look at Iraq. Warfare, suicide bombers and every imaginable form of violence. They continue to pump oil because it generates cash every day. Same thing with the Suez Canal.
They will fight, riot and even loot a little. but they will not be allowed to fool around with the money.
Disclosure: “George Gutowski” writes from a “caveat emptor perspective”. I hold no positions in stocks mentioned in this post. I do not intend to establish new positions within the next 72 hours.
- Suez Canal running normally, official says (reuters.com)
- Trouble In The Suez! Oil Tankers Surge On Egyptian Violence (blogs.forbes.com)
- On The Matter Of The Suez Canal (businessinsider.com)
- The Suez chokepoint (greencarcongress.com)