The largest exchange traded fund (ETF) tracking oil futures rose in premarket action Monday as crude prices advanced above $108 a barrel to a 30-month high.
The $2 billion U.S. Oil Fund (NYSEArca: USO) rose Friday following a positive jobs report and as investors continued to watch the fighting in Libya. The oil ETF gained more than 10% in the first quarter. [Oil ETFs Rise As Crude Tops $107 A Barrel.]
“The U.S. data paints a positive picture,” Jonathan Barratt, managing director of Commodity Broking Services, told Bloomberg Monday. “People are still concerned about Libya, but not overly. If Qaddafi decides to call it a day, then there will be a short, sharp sell-off.”
U.S. Oil Fund was up 0.4% before Monday’s opening bell.