The protests and social unrest in Egypt have provided an additional tailwind to crude prices over the past week (and we should note that crude had already rallied to two-year highs before the demonstrations began).
Even before the hysterics began in Egypt, the trend in oil was UP. (Source: StockCharts.com)
Walk (and Protest) Like an Egyptian
Since the January 25th “Day of Anger” unrest kickoff, there’s been a lot of activity - mostly bullish - in the oil markets. First, let’s take a look at how WTI and Brent crude prices have responded.
Crude yawned for a few days...but eventually got into gear. WTI crude for March delivery is up over 5% in the past week.
It was a smoother ride up for Brent - though it didn’t run as far as WTI, with Brent for March delivery up over 4% in the past week.
Brent crude is now trading above $100/barrel - a historically high spread with respect to WTI crude. (And as an aside, HAI's Julian Murdoch talked about how to play the high Brent-WTI sprad recently.)
And how have our favorite oil ETFs performed since the Egyptian protests began?
Please read the rest of my Oil ETF analysis - including your best plays for the short and long run respectively - at Hard Assets Investor.