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Market Vector Glbl Alter. Engy ETF Trst. |
Problem is oil will come down in price much more. Lately, it's gone up
due to traders pushing up the price and much less because of supply-
demand issues. OPEC has made any major changes and has even said that
there aren't any supply problems right now.
Developing countries like China didn't double their oil needs over the
past year so that argument for oil prices is weak too. There's no
fundamental reason for oil to have gotten this pricy, this quickly.
The weak dollar, also contributing to the issue, will get stronger
(eventually) and that too will contribute to lower oil prices. Oil is
coming down in price already. While I don't think people should lose
sight of the opportunities in GEX, when oil prices do come down there
may be some unfortunate selling off in alternative energy stocks,
railroads, and others that have benefited from this period of pricy
oil.