Prices for crude oil have had a brutal couple of years falling from around $100 in mid 2014 to a low of $26 this past February. They have since rebounded to the $40s. The question is simple: is the bear market over?
It is a question that matters for the credit market, because banks lent heavily to the oil patch. It is also important for stocks in general because the oil companies have seen profits collapse, hurting market earnings ratios.
The health of earnings and the health of banks are vital to a robust stock market. So, if the rout for oil is over then this could be a bottom for stocks in general.
Adam Johnson, founder of Bullseye Brief, explains why he thinks the recent low price for crude could signal that the energy bear market is over. He also gives his thoughts on why oil is a better bet than natural gas. Watch, listen, and learn here.
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