Analysts Still Bullish on Oil, Gasoline
By: U.S. crude oil prices slid as much as 4% Tuesday; and gasoline followed suit. Is the bull market winding down? Stephen Schork, editor of The Schork Report, and Eric Bolling, independent oil trader and CNBC contributor, told "Street Signs" viewers that it "could be the beginning of the end" -- but they don't recommend getting out of the market just yet.
Schork said that the price declines could indeed be the start of "something more substantial." However, he pointed to a "very normal runup" since January, and reminded CNBC's Erin Burnett that commodity prices always tend to rise "right before the [summer] season."
The editor believes a lot of the "hot air blown into the balloon" -- e.g., growing dread of gasoline shortages amid soaring demand -- is now being "let out." His advice to investors: Enact a "wait and see program right now."
Bolling is even more confident. He pointed out that "we haven't hit hurricane season -- and we just went into driving season." Despite an apparent easing of Nigerian strife, the trader declared that "any kind" of supply disruption will have "the people shorting now running for cover."
Oil and gasoline markets do deserve correction, Bolling said, but he's "not ready to throw the bull case out the window."
