News about oil price no longer scares investors

The oil price has been news for a long time now. Even we had our fair share of articles about the constantly low prices for which you could get a barrel of crude. This used to be something to spark a fluctuation in stock prices. But no more, say analysts. Investors are now no longer frightened by the fluctuation of the oil price, and are depending their choices less on this economic occurrence.


Not much is left of the price you had to pay for a barrel of oil in June 2014. Half a year later, prices were slashed by half or more. This was worrisome news for investors, who based a lot of their investments on the oil prices. If they would go up, stock prices went up. More often, however, oil prices would go down, causing stocks to drop also.

Low attention

But the news about the oil has now reached a point where investors simply don’t seem to care that much anymore. Of course, oil still has some influence on their decisions, but the news isn’t as dominant as it used to be. The attention for oil news has dropped.

Upward trend

Recently, we saw evidence of the low interest in oil prices when the price for American crude and Brent went up roughly 3 percent. Although a rise was expected for the S&P 500, virtually nothing happened. Due to a decrease in supply, the oil price is likely to show an upward trend over the year 2016. However, the question remains if this will have an effect on the stock market. The oil hype has passed.