The Rising Influence of Rising Affluence

[DewDiligence]

WSJ says Shell’s decision to cancel stock dividends is bullish:

http://online.wsj.com/news/articles/SB10001424052702303749904579577483545123554

Shell's move could be a signal of better times. Shell's scrip program saved it roughly $3 billion in cash distributions each year, about a quarter of its total dividend payouts. That neatly matched the potential hit to Shell's cash flows from a $10 fall in the oil price and, the company argued, provided a buffer against price or operational weakness. The fact that Shell is ready to give up that protection could auger well.

Well, maybe.