[video] Quick Take: Crude Oil Hits 2-Year High
NEW YORK (TheStreet) -- West Texas Intermediary crude oil continues to move higher thanks to escalating geopolitical tensions, Alan Harry of Spartan Commodity Partners told TheStreet's Joe Deaux.
The situation in Syria has caused prices of WTI crude oil to soar to new two-year highs. While the gains over the past couple of months were largely due to fundamentals, the recent spike higher has certainly been news-driven, according to Harry.
He expects the commodity to run up into a military event, if there is one, but not sell off immediately as it usually would. Instead, he said, crude prices could linger at a higher price as the world awaits whether any other countries make a move in response.
Although Syria is not responsible for a meaningful amount of oil production, that hasn't stopped the fear from rising. Harry concluded that it isn't the disruption of production that has caused oil prices to go higher, but the fear of disruption in oil production.Follow @BretKenwell
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