GO
Loading...

Traders React: What Chavez Death Means for Oil Market

The death of Venezuelan President Hugo Chavez leaves open the presidency of the fourth largest oil exporter to the United States.

(Read More: Venezuelan President Hugo Chavez Has Died, VP Says)

So should we get set for market-rocking political tensions that could drive oil prices screaming higher? Perhaps not.

"In the near-term, we certainly had some uncertainty," said Tim Evans, an energy futures specialist at Citi Futures. "But Venezuela elects their leaders democratically. This matter will be decided at the polls."

Evans said he doesn't expect a dramatic shift in Venezuelan production any time soon.

(Read More: Venezuela, Oil and Chavez: a Tangled Tale)

Hugo Chavez
Adriano Machado | LatinContent | Getty Images
Hugo Chavez

"What I expect to see is a period of mourning in Venezuela, during which oil production will continue at current levels – and then they'll gather themselves for the required elections," he said.

Jeff Kilburg of KKM Financial trades crude oil along with other commodities, and he concurs with that sanguine view.

"Lots of people talk about a big type of change coming," Kilburg said, "but I definitely don't think it's a major market mover."

Crude oil futures added about twenty cents in the twenty minutes after the news broke.

What are energy futures doing now? Click here for the latest prices.

— By CNBC's Alex Rosenberg

Watch "Futures Now" Tuesdays & Thursdays 1p ET exclusively on FuturesNow.CNBC.com!

Like us on Facebook! Facebook.com/CNBCFuturesNow

Follow us on Twitter!@CNBCFuturesNow

Contact Futures Now

  • Showtimes

    Watch Futures Now Tuesdays & Thursdays 1p ET exclusively on cnbc.com!

Sponsor Links

  • CME Group brings buyers and sellers together through its CME Globex electronic trading platform and trading facilities in New York and Chicago.

  • Take your trading to the next level with a platform that lets you trade stocks, options, futures and forex all in one place with no platform or data with no trade minimums. Open an account with TD Ameritrade and get up to $600 cash.