This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Libya Attack Lingers Above Oil Markets

NEW YORK ( TheStreet) -- Shocking attacks on the U.S. consulate in Benghazi, Libya, renewed concerns about the ubiquitous geopolitical strife that hang above crude oil markets.

President Barack Obama confirmed on Wednesday the killing of four Americans, including Ambassador Chris Stevens, in Libya, where citizens of the country have continued to rebound from a bloody civil war that saw the ouster of former dictator Muammar Qaddafi in 2011.

West Texas Intermediate (WTI) light sweet crude oil for October delivery was down 11 cents to $97.06 a barrel, as analysts suggested that investors should keep an eye on the violence in Benghazi.

"The unrest with Egypt and with Libya doesn't impact oil specifically, currently, or looking ahead, but what it does do is bring back geopolitical tension to the forefront," said Matt Smith, commodity analyst at Summit Energy Services. "That's been something that has really elevated prices this year.

Obama's statement Wednesday morning extended condolences to the families of U.S. officials killed in the attack and said justice would be done for the terrible act. The president did not disclose further details as to what type of action the United States would take in response to the events.

Smith said that politicians likely will take verbal position on the issue, but that oil prices would remain largely unaffected until policymakers layout meaningful action, if there is any.

The Benghazi attack came a day after Israeli Prime Minister Benjamin Netanyahu said that the United States and others would not reserve the right to deter Israeli action if they did not draw a "red line" concerning Iran's nuclear efforts.

"I still believe that the bigger concern here is with Netanyahu going on the newswires and saying the U.S. is being too soft in the situation developing between Iran and Israel," Smith said.

Force against Iran could potentially agitate world oil markets as the country exported some 1.1 million barrels a day in August, according to the International Energy Agency.

Heavy sanctions by the United States and European Union have cut into Iran's oil exports, which are about 650,000 barrels a day lower than at the end of last year, according to The Financial Times.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
BP $33.64 0.18%
COP $46.92 -1.80%
CVX $103.34 1.10%
HES $59.12 -0.84%
XOM $89.07 0.76%


Chart of I:DJI
DOW 17,897.22 +123.58 0.70%
S&P 500 2,080.56 +15.26 0.74%
NASDAQ 4,814.73 +39.3720 0.82%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs