iPath S&P GSCI Crude Oil Total Return Index ETN (AMEX:OIL)

CAPS Rating: 3 out of 5

Recs

1
Player Avatar raquelm2 (< 20) Submitted: 2/13/2009 3:40:54 PM : Outperform Start Price: $16.62 OIL Score: -26.23

The price of crude is currently below the cost of production due to the surplus created by the drastic slow in demand. No matter how you look at it, the price will go up once the current surplus has been exhausted. Oil producing countries aren't going to sell for less than it costs them to get it out of the ground.

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