Investors should be careful of getting caught up in oil’s recent strength because the commodity is still in a bear market and expectations for a significant recovery are muted. Looking ahead, we may be in for low oil prices for much longer than many anticipated.
“Further, the market is extremely susceptible to geopolitical risks, he said. This is because there is no “geopolitical premium” baked into current prices, and yet falling oil prices could themselves create instability in one or more oil-producing nations,” adds CNBC.
United States Oil Fund
