Futures went back above $100 a barrel today, once again setting a record high, reports Adam Schreck for the Associated Press.
The fact that oil passed over the psychologically significant barrier alone could have helped spark the rally in prices, since some computer programs are set to buy at certain levels. One expert suggests that much of the buying is coming from investors who feel like they’re missing something.
Clearly, investors don’t seem fazed by the negative economic reports issued this morning.
Oil- and energy-related ETFs were up about 2% today:
- United States Oil (USO)
- iShares Dow Jones US Oil & Gas Exploration Index (IEO)
- Oil Services HOLDRs (OIH)
- iShares Dow Jones US Energy (IYE)
For full disclosure, some of Tom Lydon’s clients own shares of IEO.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.