This article is originally referred from iForex Blog
Only a couple of days ago we’ve discuss the possibility that Trump’s victory could be good news for the oil industry and what do you know, yesterday oil surged by the most in seven months.
We wish we could say “we told you so”, but the reason for the recent volatility has nothing to do with the US elections. The reason for investors’ excitement is speculations regarding an OPEC output cuts. Yes, again.
Some investors believe that OPEC will agree on an oil cap later this month, when the oil producing countries meet in Vienna.
The result was an almost 6% increase in prices on Tuesday, bouncing back from multi-month lows. With today’s uptrend it means oil rose by 9% in less than three days.
Will OPEC finally manage to reach a decision or will the recent rumors, like so many before them, fail to result in an actual decision? Oil volatility presents many opportunities for online traders. Follow the news,keep your eyes open and take advantage of any change in price.
Any indication of past performance of a financial instrument is not a reliable indicator of current and/or future performance of such financial instrument.
Original Source: iForex Blog