Mid-East Tensions Cause Oil to Surge

After months of falling oil prices due to the global economic slow down and lack of demand. Oil prices are moving up again with recent violence in and rise in tension in the Mid East.

Prices rose to over $40 a barrel on Monday largely due to fears of a widening conflict in the Mid  East. Traders may also be concerned of a conflict with Iran that looms on the horizon. Speculation that bargain hunters are finally stepping into the market as they believe it may be over sold given the long term out look for oil globally may have also played a role in the increase in oil prices. Mid East conflicts in the past have often caused short term spikes that have not held.