Us:Clv19, Us:Xle

Us:Clv19, Us:Xle

Stocks tend to rise in months after a big oil-price jump — but beware the drawdowns

Benchmarks, on average, outperform following a 10% rise in the price of crude oil — but there have been some nasty drawdowns.

17.9.2019

Some history here... in the 6-months after 1-day crude price spikes of 10% or more: - S&P 500 +10.2% (vs. 6.3% average rise) - Dow +8.7% (vs. 6.1% average rise) - Nasdaq +15.5% (vs. 8.2% average rise)

Benchmarks, on average, outperform following a 10% rise in the price of crude oil — but there have been some nasty drawdowns.

“The attack in Saudi Arabia is something to watch, but it doesn’t look like a major problem,” said Sam Stovall, investment strategist at CFRA. “The U.S. said it would open up the strategic reserves, and the Saudis have redundancies, and as a result the effects should be offset somewhat.”

Another foreboding example is June 20, 1990, when the price of crude oil rose 10.7% in the months leading up to the Iraqi invasion of Kuwait. As that conflict grew over the next year, there were more than two dozen instances when crude oil prices rose more than 5% during a single trading day. Six months after the initial price spike, the S&P 500 was 8% lower.

Read more: MarketWatch

Tech stocks face a 10% drop in the near-term, warns investor who once ran the world’s biggest technology fundWhile investors sift through the aftermath of the weekend attack that disrupted Saudi Arabia’s crude output, the Wall Street veteran who ran the world’s...

Saudi, Gulf stocks fall after attack on Aramco oil plantsSaudi stocks plunged 2.3% as the market opened on Sunday, after attacks ... Very sad for Saudi stocks. Great news Oh very sad.

Resilient U.S. Growth Propels Stocks as Trade Fears EaseInvestors are piling back into stocks and unwinding massive bets on haven assets, illustrating renewed faith that a resilient U.S. consumer can continue powering economic growth. It's ok Saudi Arabia & gulf countries are always willing to help ....

Saudi, Gulf stocks fall after attacks on Aramco oil plantsSaudi stocks fell sharply on Sunday, after attacks on two plants at the heart of... Real courage adjust the nerves. يشتوا يتوهونا:الطائرات المسيرة التي قصفت بقيق وخريص بالسعوديه جأت من ايران ؛لاالعراق لاالبحرين !!؟مايهمنا إنها حققت هدفها؛والاهم ان الاستهداف هو رد للعدوان السعودي الامريكي على اليمن المستمرمنذ خمس سنوات اليمن_شفت_الدبل_قيق What is your intention about not using the complete name of “Persian Gulf”

Oil stocks in Asia Pacific surge as drone attacks disrupt Saudi productionDrone attacks over the weekend knocked out about half of Saudi Arabia's daily crude production, causing oil prices to shoot up. Big deal Saudi Aribea is a nice country , they do their best to bring oil to all the world easily with a fair price . Our mission at is to build the social media platform that ends fake news

European stocks seen lower on geopolitical tensions and weak Chinese dataEuropean stocks were expected to open lower Monday morning as investors digest an escalation of tensions in the Middle East following an attack on Saudi oil. Well, Brace for a down-turn Trump on Monday into Friday! Thanks Jared for all your work in the Middle East Is Burj Khalifa public? Its stock & others related to it (hotels, etc) should also be declining. BuY tHe Dip Green by close! Hurry!

Write Comment

Thank you for your comment.
Please try again later.

Latest News

News

17 September 2019, Tuesday News

Previous news

A jump in oil prices is creating trading opportunities in these investments

Next news

MoviePass is shutting down — here’s how the remaining movie-ticket subscription plans compare