>> paul sankey is a stud i'm staying on the paul sankey trip, mpc. >> dan >> everything is better withtake two quarter and i think the stock is down enough good balance sheet i think it is relatively cheap >> all right anthks >>> my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it "mad money" starts now >> hey, i'm cramer welcome to "mad money. welcome to cramerica i'm trying to make you money my job is not just to entertain you but to educate you you know what, i have been thinking all weekend, this is a market that deserves to be

the giant lights of united kingdom economics, and governor bailey, they would like to listen to paul sankeyfounder and lead analyst at sankey research, with an absolutely blistering note for a two hour conversation. i want to go to the nitty-gritty of your expertise, which is you link henry hob and lng into a net gas -- a nat gas explosion in profit and price. paul: u.s. production is not reacting to high prices, so a lot of our normal elasticities are simply not there, and the other key one is that coal prices are very high and coal inventories are very low. so the u.s. price has gone to $8.50, btu at a 50 year high. the reason obviously is europe is cutting off russian gas, and as a result they have to import as much as they can. they were dependent on the spot market, so they don't have long-term contracts, and as a result they are having to buy lng from a buyer, from someone who had already bought. tom: put it into scale, it is now eight, and mr. sankey said we should enjoy $20. let's look at the united in the man united states, a gallon of gas. i understand jon drives a little car over

with us and paul sanki, lead analyst at sankey research go to see you.th what the iaea administrator said which is unless, basically if china comes back online in a big way we've got a problem? >> well, i think china will be back in a big way because wow have the policy upgrade in october and they have to show something like the economic growth they promised for this year which is 5.5% gdp growths that was the target before the whole covid shutdown drama on the supply side, i don't know what the iaea is talking about if they can list five countries that can grow in production this year i would be very interested to hear what those five co countries are because they're not there. >> there is no prospect, or very little prospect, i don't want to put words in your mouth, of increased supply coming from the middle east, venezuela, iran, whatever, to help alleviate the price issues >> well, i mean, further, you obviously have a long history of oil because venezuela has a producer and iran, i have no idea what's going on with the administration's dealings with

paul sankey, the founder and lead analyst. from new york city, good morning. jonathan ferro, tom keene lisa abramowicz. we are down another 8/10 of 1%. look out below. yields are coming up about five basis points. 3.0908. just to get you ready for the day ahead, the number comes out in about an hour and 12 minutes. next week, may 11, the estimate so far, very few estimates coming in, what our survey is slowly coming together here. the median is 8.1 percent revenue, down from 8.5%. then you have to work out what is happening at the corporate we are stripping out food and energy. i don't use this for a lot of your home, but that is what central bankers do. 6.1% down from 6.5. we are slowly coming together. tom: moving targets coming together, and it is staggering what the ecb will do off of the bank of england. this is a jobs day, an important job stay, the news lowest -- news flow is externally. we spoke to emily in washington about intelligence and the sinking i should say of a very large and important russian ship. and maria is in salzburg. the wonderful kimb

160 million barrel release from the petroleum reserve that runs through the fall joining us is paul sankey. he has been on the mark on this story. paul, you have been talking about the refineries and the risk to supplies for a long time we get critical inventory data at 10:30 this morning. what should we closely watch for today? >> the overall, we are looking at demand overall. you have been looking at the subject. the question is supply is so weak and when will prices get to the point they destroy demand? the concern there is you have to slow down the economy and it becomes a question of destroying the economy in order to rational 00 ize the markets. i don't think there is anything the administration can do about that build ing a new refinery in the u.s. is what you need and that is kind of impossible. >> talk about building a new one, paul. we lost 50%. we had 14 in the mid-atlantic to the northeast 15 or 20 years ago. we have seven now. one destroyed by the 2018 explosion in philadelphia. that refinery, i drove by it the other day, it is being torn down i don't want to be a grim r reape

>> paul sankey is a stud i'm staying on the paul sankey trip, mpc. >> dan >> everything is better with linda. and i like that take two quarter and i think the stock is down enough good balance sheet i think it is relatively cheap >> all right anthks >>> my mission is simple, to make you money i'm here to level the playing field for all investors. there's always a bull market somewhere. and i promise to help you find it "mad money" starts now >> hey, i'm cramer welcome to "mad money. welcome to cramerica i'm trying to make you money my job is not just to entertain you but to educate you you know what, i have been thinking all weekend, this is a market that deserves to be hated. it has virtually nothing going for it except misery and an occasional desire to give misery company. sadly, the indices are a complete and total reflection of everything that's really happening in the world today that's why even though we're oversold here, even though we can put on meager rallies that look terrific at the time, we can't seem to escape the jaws of the bear that includes today. the dow advanced 27

butvalero makes an all-time high every day and psx and mpc, we talked about that name in the paul with paul sankeyn it was a $60 stock. clearly oil didn't get the memo about fighting inflation and i think it continues to go higher from here. >> there are three ways to make money in the oil sector. one is the waiting in the s&p 500 will grow. i'll mention it every time in if i need to. in this environment, when you have the fundamentals so good it will double back to the 20-year average. but then what companies are doing, conicooco phillips, theye called best two-way player so their exposed to the higher commodity and they'll return 10% back to the shareholders and they grew the capex 8% which starts to get you worried if it is old school. it is not what is going on the sector has totally different capital discipline that is what mike referred to, they're buying back shares, that is the third leg of the stool. royal dutch is buying back a ton of stock and i think they're well positioned in terms of capital discipline. >> and marathon mpc raising the cash flow estimates, i believe that was yesterday

second straight day >> very active in the conference for more on how to play the rise in energy, paul sankeyankey research. you say this is potentially the most interesting market you've seen in 30 years what do you mean by that >> it is the most profitable for oil and gas and refining companies and it's a multi-facetted and you mentioned coal that's also raging and what we're getting here is companies that are maintaining capital discipline and just making enormous free cash flow, and it is coming on. >> is it sustainable, paul it was fascinating to hear brent fill last hour he was talking about how clients don't want to hear how they want to go to energy. they want to go to consumer staples and that's quite a comeuppance on the best performing sector over the past decade >> it's obviously a huge change. is it sustainable? it becomes an economic question and we're not seeing the demand destruction and the price is trying to encourage more supply or less demand >> today opec announced an increased production target over the past month against a $400,000 barrels to give you an idea of just th