Collateral Damage

Here is one of the collateral damage resulted from the current oil price drop, solar. The current price drop in oil makes solar or any form of alternative energy much less attractive. And the perception that the primary reason for the current price drop in oil is due to oversupply makes the renewable energy argument less compelling. Aside from this short term crude oil price drop, there is a longer term reason that could maintain a less favorable environment for solar. This long term cause is the changing of the guards in Washington. The changes in Washington could result in reduction or elimination of government subsidized alternative energy programs, and the possibility of further increase domestic oil supply in the long term by allowing more offshore drilling for oil.

Here are some of the solar stocks that are part of the collateral damage from the current oil price drop.

(click on the chart to enlarge)
TAN (solar stock ETF):


FSLR:


SPWR:


SCTY:


CSIQ:


JKS: