Month: June 2016

Eligo’s Mark Freidgan talks crude oil price’s effect on the energy sector in Voice of America

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Demand for natural gas dropped to a 31-year low in recent weeks, while storage remained at all-time highs. Davis said, “With the advent of liquid natural gas (LNG) exporting, you now have a set global price. LNG will now be exported around the world, and this oversupply will start to draw down leading to higher prices in natural gas.”

Another factor contributing to the surge in stocks is participation from the financial sector, which was largely unexpected because low-to-negative interest rates are a challenge to bank earnings and growth. Just this Thursday, the European Central Bank (ECB) announced it was cutting its main interest rate and expanding its massive bond-buying program.

Steven Kalayjian of KnowVera said more Quantitative Easing (QE) from central banks is bad for the markets because it artificially inflates asset prices.

“Since 2008, global central banks, including the Federal Reserve, have cut rates over 650 times, which has not spurred any economic growth. In fact, global GDPs are in a decline,” Kalayjian said. “The recent rally is based on false hope of more Quantitative Easing when markets should be moving on solid fundamentals like strong corporate earnings and healthy economic data.”

Mark Friedgan, Co-Founder & CIO of Eligo Energy, is in agreement with Kalayjian. “While QE may have been necessary to preserve the global economy when it began, after more than seven years of various forms of QE worldwide, it must eventually end,” Friedgan said. “The concern I have is that this end to artificial government influence on the economy will result in a day of reckoning for investors who have been chasing yield in both exchange-traded assets and private investment. The economy and markets must prove that they can survive and grow substantially without this government tailwind.”

Read the full article and see the video at Crude Oil Rebounds

Eligo’s CEO helps consumers with choosing an energy provider in AltEnergy magazine

Why schools should have the right to choose their electricity provider?

We believe that all customers should have a right to choose their own electricity supplier.  Given the likely savings that customers making the choice are likely to experience, in the age of ever-tight budgets, schools would be able to apply the saving in other areas.

 

Why incentives for AES’s to expand energy efficiency programs could benefit both schools and consumers?

There has been a lot of recent media attention surrounding how much Michigan schools have saved with deregulation. If more schools could participate, (or more consumers, small businesses or even big businesses) think about how much money could be saved. Over time, the amount saved would add up, saving hundreds of thousand dollars on energy bills (as seen by the Michigan public school systems).

Continue reading at Choosing Your Own Energy Provider