Economic Concerns Pull Oil Prices Down


Mar. 22 2019, Published 1:41 p.m. ET

Economic concerns and oil prices

On March 22, at 11:48 AM EDT, US crude oil May futures fell 2.2% from their previous close. Concerns surrounding a slowdown in Europe’s powerhouse have dragged US crude oil prices near the lower limit of our price forecast. Oil is a growth-driven asset. In March, Germany’s PMI was at its lowest level since June 2013. Moreover, the index contracted for the third straight month.

Article continues below advertisement

Impact on ETFs

The US crude oil price limits we discussed earlier could be important for oil-tracking ETFs like the ProShares Ultra Bloomberg Crude Oil ETF (UCO) and the United States 12-Month Oil ETF (USL). In the trailing week, US crude oil May futures rose 1.8%, UCO rose 3.5%, and USL rose 1.3%.


More From Market Realist

    • CONNECT with Market Realist
    • Link to Facebook
    • Link to Twitter
    • Link to Instagram
    • Link to Email Subscribe
    Market Realist Logo

    © Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.