Time to Worry Again About Oil

Record oil prices and a falling dollar do not usually an up market make.

But that’s what happened last week, and it’s got some analysts concerned about what might happen in the week ahead, when there are few economic or earnings reports to distract investors.

After peaking in early April, oil prices sold off for a good six weeks, and the stock market rose in tune with it. But prices have been climbing steadily in June. On Friday, July contract reached a record intraday level of $58.60 a barrel and a record closing high of $58.40.

While Henny Pennys have been claiming that “the sky is falling” since oil started hitting the mid-$40 a barrel range, a number of economists argue that the $60 a barrel range that oil is nearing is in fact a cause for concern.
CNN