From Matt Badiali, Editor, Stansberry Resource Report:
It’s still a bad time to be an oil driller… or any oil-services provider.
The world leader in oil service, Schlumberger (SLB), laid off another 8,000 people in the first three months of 2016. That’s 42,000 total layoffs since mid-2014 – nearly one-third of its staff in just two years.
It has been an epic bust in the oil sector. And yet, Schlumberger shares are up 29% since their January lows. So you might be wondering if it’s time to buy yet…
The answer is no.
You see, the oil-services industry is in big trouble. We can see this by looking at the number of rigs drilling for oil and gas. The “rig count” is a good indicator of the industry’s health.
And as you can see in the following chart, North America’s rig count (471 rigs operating today) is at its lowest…