Oil Prices Surge More Than 6%, Trader Sees Resistance at $35

Oil prices surged more than 6% Monday, trade above $31 a barrel. ‘Today’s news seems to be bad news is good again in the world of commodities,’ explained Eric Zuccarelli, an independent trader with the NYMEX. ‘Much like copper, and the equity markets, some poor figures out of Europe and some poor figures out of China give the markets impetus to believe that there will not be any more increases of interest rates.’ Zuccarelli also said the markets are still supported by last week’s news of a possible curtailment of production by some OPEC members. Also Monday, the International Energy Agency gave projections on declines in U.S. shale production. Zuccarelli said $35 is a key psychological resistance level for crude, and he expects the commodity to be range bound in the short term. TheStreet's Rhonda Schaffler has details from Wall Street.