The price of crude oil tumbled to a low of $26 a barrel in February from more than $100 in mid-2014. The spot price of West Texas Intermediate crude settled at $37.26 on Thursday.
Some worry that oil prices could fall again, if heavy production continues in the U.S., Canada, and Kurdish-controlled Iraq and a weak world economy reduces demand. But when all of the risks are weighed, it’s hard not to draw the opposite conclusion: It’s far more likely that crude supplies will tighten, driving prices higher. Investors could play the trend by buying crude-oil futures or shares of the United States Oil exchange-traded fund (ticker: USO), which tracks crude prices. Read more here.
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