In light of the weak dollar, oil was able to make impressive gains in trading yesterday. Prices approached $80.00, but amid concerns about demand and inventories, oil retreated from its gains and prices stabilized at $77.55. With the dollar apparently set to rebound, and U.S. stock markets set to wind down in the coming days ahead of Thanksgiving, it is not very likely that the commodity will make any serious moves.
News coming from Iran, (the worlds fourth largest producer of crude oil), that it is testing a new missile defense system also played a role in the increase in prices. Uncertainties in the Middle East such as this one, may impact the direction oil prices are moving, but without a dramatic news event in the immediate future, the commodity should remain stable.