NEW YORK (TheStreet) -- The international nuclear deal with Iran is suspected to increase crude oil production from the country, which will likely hit the oil stocks. TheStreet's Jim Cramer breaks down how investors should play the move.
Cramer was quick to suggest that even if Iran production comes back online in a big way, we're only looking at roughly one million barrels per day.
While that might seem like a lot, it's only a fraction of the more than 80 million barrels produced daily across the world.
The increased production will weigh on WTI crude prices Cramer said, but viewed the selloff in oil stocks as a buying opportunity.More specifically, Cramer suggested Exxon Mobil (XOM) for investors looking for a major player in the business, but said he'll likely go with Noble Energy (NBL) or National Oilwell Varco (NVO) in the Action Alerts PLUS portfolio. Cramer concluded that oil stocks will probably hold up okay on the deal news, but could decline when the analysts begin to downgrade. That's when he wants to be a buyer. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell
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