[video] Quick Take: Syria to Trigger a $150 Oil Rally?
NEW YORK (TheStreet) -- Crude oil prices are pulling back on Thursday, but could have more room to go on the upside. SCS Commodities' Tom Reilly tells TheStreet's Joe Deaux what he expects.
Without military intervention in Syria expected over the next day or two, crude oil prices have started to drop, but when something does happen, spot crude oil prices could jump as much as $5 to $8 per barrel, according to Reilly.
While the news could quickly push prices higher, the move will not likely be sustainable he added, unless Russia or Iran respond in the days following the strike.
He did not argue that crude oil could climb to $150 a barrel, and said it is unlikely. The only way a move like that can happen is if there is some sort of response from those two countries, he observed.He concluded that traders could look to sell oil, if Russia or Iran does not retaliate within a couple of days of the military action. Oil prices will start to trade based on fundamentals by late September, assuming everything plays out in the next week or so and nothing happens beyond the initial strike in Syria, Reilly predicted. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV