The rally in oil won’t last, energy analyst Tom Kloza said Thursday.
“I suspect that this rally that we are seeing in the last couple of days is a little bit of a foolish rally,” OPIS’ head of energy analysis told CNBC’s “Squawk on the Street.” “And we’ll retest the lows late in February, March, when refineries go to maintenance, so I still think we’re going to test that December 2008 level of $32.40 to $33. I don’t suspect we will get beneath it, but you never know.”
U.S. crude was priced at about $37.99 a barrel in early afternoon trading, up 1.3 percent.
Kloza said it’s going to be a long time before crude oil truly recovers.
“I think there is hope for the bulls, but I think to be bullish, you have to be looking for maybe a price of $50 or more, and it would be late in 2016,” he said. “Otherwise you need something geopolitically, and beyond ISIS, something that threatens oil fields or some of the oil production. … So it’s going to be a long slog before crude oil really recovers.”
Parsley Energy Inc (NYSE:PE) dropped -1.00% at the end of recent close. Its previous 52-week high was $20.33, trading at a volume of 658,121.Shares have risen -1.39% over the trailing 6 months. The stock is currently trading -2.57% below its SMA 50 and 5.49% above its SMA 200.
Occidental Petroleum Corporation (NYSE:OXY) share price increased in the last trading session with a previous 52-week high of $80.41. The stock traded at a volume of 2,206,369 shares at a price loss of -0.01 %.The share price is now up 5.80% for the past three months. Latest closing price was -3.86% below its 50-day moving average and -3.95% below its 200-day moving average.
Penn Virginia Corporation (NYSE:PVA) closed at $0.37, up 1.09% from previous close and at a distance of -1.07% from 20-day simple moving average. Over the last 12 months, a return on equity of -93.90 percent was realized due to the financial situation and earnings per share reached a value of $-7.78 earnings are projected to move up 10.00 percent for the coming five years.