Crude Oil Prices Anticipated to end 2016 on a High Observe: What’s Subsequent?
WTI (West Texas Intermediate) crude oil (BNO) (PXI) (ERY) (ERX) (USL) (USO) (UCO) futures contracts for February supply rose 0.6% and have been buying and selling at $fifty two.25 per barrel in digital commerce at 5:15 PM EST on December 23, 2016, the very best degree in 17 months. Costs rose resulting from a weak dollar.
US crude oil costs had a roller coaster ride in 2016. The graph under exhibits their highs and lows. Nonetheless, crude oil prices could possibly be below stress resulting from Donald Trump’s US presidential victory and high crude oil, gasoline, and distillate inventories in 2017. For more on crude oil prices and the US greenback, read part one in all this collection.
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Crude oil’s lows in 2016
US crude oil settled at $26.21 per barrel on February eleven, 2016, the lowest since 2003. As of December 23, 2016, crude oil prices were up 102.2% from their 2016 lows.
Higher crude oil and natural gas costs have a positive impact on the earnings of producers corresponding to ConocoPhillips (COP), Stone Vitality (SGY), Denbury Resources (DNR), PDC Vitality (PDCE), Occidental Petroleum (OXY), Cobalt Worldwide Energy (CIE), and Swift Energy (SFY).
Strikes in crude oil and natural gasoline costs additionally influence funds such because the Fidelity MSCI Power ETF (FENY), the DB Crude Oil Double Short ETN (DTO), the ProShares UltraShort Bloomberg Crude Oil (SCO), the iShares World Power (IXC), the SPDR S&P Oil & Gas Exploration & Manufacturing ETF (XOP), and the Power Select Sector SPDR ETF (XLE).
To be taught extra about crude oil’s bearish drivers, read Iraq’s Crude Oil Manufacturing Is Essential for OPEC and will US Crude Oil Production Support Crude Oil Bulls or Bears? You can also read Will OECD Crude Oil Inventories Impact Crude Oil Prices? in addition to Will Trump Impression Iran’s Crude Oil Production?
Crude oil’s highs in 2016
US crude oil prices settled at $fifty three per barrel on December 23, 2016, the very best since July 14, 2015. To be taught more about crude oil’s bullish drivers, read China’s Crude Oil Imports and Demand Impact Crude Oil Prices and Gasoline Demand: Is It Bullish or Bearish for Crude Oil?