The price of oil is usually measured on a per-barrel basis. The price also can be quoted as the spot price, which is the price of buying a barrel at the current moment, or as the futures price, which is the cost of buying a barrel of oil in future months. Two main contracts traded are West Texas Intermediate (WTI) and Brent Crude. WTI oil is light sweet oil and very well suited for gasoline. Brent Crude is a blend of oil from the North Sea. Futures prices are quoted in increments of 1,000 barrels of oil for every one contract.
The price action in oil is dramatic. It’s really significant considering it traded so consistently in a range around $100.00 a barrel prior to its recent drop.
The breakdown in oil prices is suspicious for the simple reason that both growing supply and stagnant demand have been such a constant over the last several years. There’s … Read More
Oil is a dirty investment at this time, with the fundamentals pointing to continued softness in oil prices, driven by strong supply and weak demand. But there may be investment opportunities in trucking and airline stocks.
Now the oil cartel, the Organization of the Petroleum Exporting Countries (OPEC), could have given prices a mu… Read More
9 Companies Stocks That Could Benefit from Falling Oil Prices
The Power of OPEC and a Stronger Dollar
The major indices may be at record levels, but the big news on Wall Street is oil. The price of West Texas Intermediate (WTI) crude oil has fallen approximately 55% since the middle of June to roughly $69.00 per barrel—the lowest level … Read More
Transportation stocks are still pushing higher, and the broader market won’t turn until this particular sector does first. The Dow Jones Transportation Average just broke 9,200 for another new record-high, and component companies have added price momentum due to lower oil prices.
Alaska Air Group, Inc. (ALK) leapt by more than … Read More
To see where the global economy is headed, I follow the prices of oil and copper. The prices of these commodities tell us about demand in the global economy. If the prices of oil and copper are rising, it means there’s prosperity. If the opposite occurs, it means industry (factories) is not busy and that a global economic slowdown is no… Read More