In general, oil prices follow equity markets and the general sentiment in the stock market. They are also sensitive to economic cycles and the supply and demand model. The lower oil prices may signal relief for consumers at the gas pump, and just in time for the holiday season. [Commodity ETFs to Fight Inflation]
The United States 12 Month Oil Fund (NYSEArca: USL) reflects the price of oil delivered to Cushing, Oklahoma and reflects the average of the next 12 months of oil futures contracts on The New York Mercantile Exchange. The fund lost 2.47% earlier in the week. The PowerShares DB Oil Fund (NYSEArca: DBO) lost about 3%.
United States Oil Fund
Tisha Guerrero contributed to this article.