- REUTERS/Brendan McDermid
Back in January, Dennis Gartman said in his widely read letter that crude oil wouldn’t trade above $44 again in his lifetime.
Well, bad news, Dennis: Crude oil just broke above $44 a barrel.
West Texas Intermediate crude futures in New York rallied 3% on Wednesday to as high as $44.24 a barrel.
That was the highest level of the year.
In a CNBC interview after the $44 call, Gartman said he was not bearish on crude oil, but did not want to be bullish either.
In October 2014, Gartman said we were witnessing the end of an era for crude oil.
And speaking to CNBC, Gartman said he did not think the correlation between crude oil and stocks would last very long.
Oil prices have whipsawed in the last few weeks, as various headlines about a possible production-freeze deal bounced around.
So far, none of these calls have worked out that well.
The producers’ meeting in Doha on Sunday ended without a deal, and that sent oil lower.
But prices have reversed course since Monday’s initial drop. One of the catalysts that analysts have pointed to is the three-day strike by oil workers in Kuwait, which ended Wednesday.
Here’s a chart:
- Yahoo Finance