With crude futures off their recent highs early Wednesday morning, there appears to be a bit of calm in the air before the proverbial storm or, in this case, spring. With the “Arab Spring” continuing to take hold in the Middle East, protests and Shi’ite marches are expected in Saudi Arabia during the now ubiquitous “Day of Rage” on March 11 and 20. Indeed, oil traders will be watching this situation very closely, as heightened political, social, and economic unrest is likely to cause similar types of spikes that we saw with Egypt and Libya headlines.
Of course, legendary commodities investor Jim Rogers is not convinced crude is rising due to tensions in the Middle East, so much as because “…the world is running out of known reserves of oil.” Either way, you can be sure that “black gold” will continue to be all the rage in the coming days.
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