As though taking a sip from a well-aged bottle of champagne, oil prices have begun merrily bubbling upwards, bolstered by a timid dollar and buoyed by the International Energy Agency (IEA) decking the halls with a sparkly new demand upgrade. As the golden white star at the top of the oil market Christmas tree provides warmth and light guiding the way to profits, investors are feeling the holiday cheer early this year.
The dollar, once the daunting Grinch intent on stealing the oil industry’s Yuletide joy, seems to have found a change of heart, showing a softer side which has seemed to breathe fresh life, or perhaps light, back into the oil market. Its retreat has thrown the doors wide open for oil prices to dance merrily upwards in a festive jig that’s left investors ho-ho-hoping for more.
Further stoking the hearth fire of this joyful price ascension is none other than the big man himself, the International Energy Agency. This Santa Claus of the financial world came by the chimney with a sack brimming with positive demand forecasts. Amidst the clatter of reindeer, or perhaps number crunching, their jolly message echoed loud: all the boys and girls in the global market have been so well-behaved, they've earned themselves a demand upgrade.
This one-two punch of a learner, gentler dollar and a booming demand forecast promise to keep the oil market winter warmer throughout the festive season. As such, prices have been on a jolly sleigh ride northward! While the elves of Wall Street keep the workshop buzzing with speculation and strategy, we investors unwrap the gift of a sunny outlook in the oil industry.
So, dear friends and fellow oil market watchers, let's raise a glass to oil's year-end rally! Year after year, it has proven to be as dependable as Santa himself, delivering our wishes of prosperity with the reliability only the jolliest of financial forces can muster. Whether you've been naughty or nice, it seems the IEA and the retreating dollar have delivered us a gift we can all enjoy, in the form of rising oil prices.
