Two Ways To Play: Goldman Predicts Oil Super Spike. Again.
Strengthen your portfolio in good times and bad.
Analysts Jeffrey Currie in London and David Greely in New York wrote in a report yesterday that robust emerging market oil demand growth "against a backdrop of continuing non-OPEC supply disruptions" will continue to have an upward effect on prices.
Further, the analysts wrote Hurricane Gustav this week was "just another in a long list of supply disruptions" that cut 40 million barrels of crude oil from the world markets last month.
Crude oil fell 28 cents today to close at $109.42 a barrel in New York on the New York Mercantile Exchange.
See Toddo's thoughts in Toddo on TV: Out of Energy.
From the Bull Pen: Those bullish can play the oil ETF (USO); one option could be to set an initial position here and add on any weakness to $80 support; sell stops can be below that level.
From the Bear Cave: Although the correlation isn't perfect, bears expect airline stocks to fall, should crude oil rapidly increase in price. Continental Airlines (CAL) may be a downside option; sell stops can be set above $19.50.
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