Jim Cramer: Oil Is Demand Sensitive

Katherine Ross

Tuesday's trading session will see the expiration of June delivery contracts for WTI crude and domestic crude stock data later today from the American Petroleum Institute. 

Brent crude contracts for July delivery, the global benchmark, were seen 14 cents higher at $34.99 per barrel while WTI contracts for the same month -- the new U.S. benchmark -- edged 20 cents higher to $31.85 per barrel, in early morning trading Tuesday.

May contracts went negative last month, but that will not be the case this month.

Looking ahead at oil, Jim Cramer said that $35 is the "magic number" on Monday, May 18.

So, is it possible for oil to hit that magical number before futures expire?

Cramer says yes. 

With more and more states reopening, people are more likely to drive, which means--once more--people will be visiting gas stations to refuel as they travel to work, run errands, etc.

But can the oil rally last? How should investors approach oil, if they should at all?

Watch the video above for Cramer's take.

You can follow Jim Cramer and Katherine Ross on Twitter at @JimCramer and @byKatherineRoss. Read more from Katherine Ross here.

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