NEW YORK (TheStreet) -- While oil prices have dropped lower today, they are on track for the biggest quarterly gain in seven years due to events such as the widespread global supply outages, CNBC's Jackie DeAngelis reported on "Fast Money: Halftime Report" Thursday.

U.S. oil prices rallied more than 20% in the second quarter and are estimated to come in just under $50 per barrel in the current quarter, according to DeAngelis, despite oil falling today.

Crude oil (WTI) is lower by 1.58% to $49.09 per barrel and Brent crude is down by 1.68% to $49.76 per barrel, CNBC reported this afternoon.

Oil has been that "risk on trade," Equity Armor Investments' Brian Stutland commented.

"It's become a demand story. Yeah, we had all this oversupply talk before a few months ago but now the demand picture is in. That means people are buying it for being a risky asset," Stutland continued.

NationShares' Scott Nations expects the price of U.S. oil to rise to $50 per barrel again.

The declining oil prices today are attributed to Saudi Arabia cutting August oil prices and concerns that the Chinese have filled up their strategic petroleum reserve, Nations noted.

"The next level" for the price of U.S. oil is $51.67 because that was the high on June 9, he added.