Oil Surges to 6-Month High, Gold Climbs as Iran Tension Escalates
Without question, the flash-point for the energy markets right now is Iran. Today an image of a captured British solider along with some tough talk from Prime Minister Tony Blair pushed oil prices even higher. Considering Iran is the world’s 4th largest crude exporter, what’s the play as the threat of a clash looms in the distance?
Eric Bolling says the play is Canada’s Oil Sands (the world’s second largest storehouse of petroleum) because its going to increase production by 2010 and the best player in the space is Suncor Energy (SU).
Tim Strazzini adds the process requires a lot of natural gas so there are a lot of derivitaive plays too.
Guy Adami says utilities are on fire and he likes Public Service Enterprise Group (PEG) because it’s attractive on a valuation basis. Guy adds that the stock is up 39% since October, and recommends investors own the stock on any pullback.
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