Oil Prices May Crash

| Total Words: 499

Oil has been rising for the past 10 years as the world has come to the understanding that there is only a limited supply and national economies are tied to it. To many people the rise in oil price is a good bet because of its limited nature. It may be possible that oil will take a dive in price as it comes close to $100 per barrel as people begin to feel uneasy.

It is possible that people have made so much money on oil stock, futures, options and other investments that people or large investment houses may dump their investments and take the winnings. If this happens even a small decline could trigger and en masse exodus from the market forcing a quick downward trend on the price per barrel of oil causing the market to crash. A market crash could be as much as a 40% decline in the price per barrel.

There are a number of forces around the world that may make a dip in the market in the near future. The Middle East may become more stable in the near future as the ending to the Iraq war becomes more likely. Even though there is no guarantee that the country will become stable it is a possibility it may become this way as one side beats out the other. It isnt likely to...

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