Here comes oil crashing back down.
People underestimate how insane oil price moves are.
Imagine interest rates are 7%.
A week later, they're 4.5%.
Then a couple weeks later, they're 3%.
Two months later, they're back up to 6%, and will be back to 7% soon.
That's what's happened with oil the past few months.
No other industry on earth deals with this kind of price volatility on its most critical input. Not even close.
Oil markets are insane.
U.S. oil companies are currently selling their product for 70% more than they were a week ago... all because of a situation 8,000 miles away that has no impact on their ability to produce or sell oil.
They pull the same product out of the same ground and sell it to the same customers. They just get paid 70% more.
When the situation calms down, oil prices will drop just as fast as they spiked.
The impact interest rates have on real estate companies is nothing compared to the impact oil prices have on oil companies.
And the price of oil can double or go down 50% in a matter of days.
The volatility of the oil business is unmatched.