Friday, 31 Oct 2025
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA
logo logo
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
  • 🔥
  • Trump
  • VIDEO
  • House
  • White
  • ScienceAlert
  • Trumps
  • Watch
  • man
  • Health
  • Season
Font ResizerAa
American FocusAmerican Focus
Search
  • World
  • Politics
  • Crime
  • Economy
  • Tech & Science
  • Sports
  • Entertainment
  • More
    • Education
    • Celebrities
    • Culture and Arts
    • Environment
    • Health and Wellness
    • Lifestyle
Follow US
© 2024 americanfocus.online – All Rights Reserved.
American Focus > Blog > Economy > Oil’s a Good Short-Term Play Now. But What About the Long Term?
Economy

Oil’s a Good Short-Term Play Now. But What About the Long Term?

Last updated: June 19, 2025 1:35 pm
Share
Oil’s a Good Short-Term Play Now. But What About the Long Term?
SHARE

Brent Crude Oil Futures Surge 20% Amid Geopolitical Tensions

Brent crude oil futures have seen a significant 20% increase in value this month, driven by escalating tensions between Israel and Iran. The threat of potential supply disruptions due to the conflict has pushed oil prices higher, making it an attractive hedge for investors looking to diversify their portfolios amidst geopolitical risks.

While short-term investors may benefit from the current spike in oil prices, long-term passive investors should approach oil as a diversification strategy rather than a primary wealth generator. Over the past 25 years, oil investments have only yielded a modest annualized return of 0.7%, accounting for the effects of inflation, according to Dow Jones Market Data.

Taking a historical perspective, research strategist Jim Reid from Deutsche Bank analyzed the real returns of oil investments over the last 150 years. The results show that oil has only provided a meager annual return of just over 0.5%, significantly lower than other asset classes such as U.S. stocks (6.58% per annum) and gold (0.77% per annum). In contrast, commodities like copper and wheat have experienced losses over the same period.

Investors should carefully consider the role of oil in their investment portfolios, balancing the potential benefits of diversification with the historically low returns compared to other assets. While oil may provide short-term gains during periods of geopolitical uncertainty, its long-term performance as a wealth-building asset remains modest at best.

See also  Some of These Whales May Live Twice as Long as Scientists Thought
TAGGED:goodLongOilsplayShorttermTerm
Share This Article
Twitter Email Copy Link Print
Previous Article 5 Daily Habits Could Be Causing Your Liver Serious Harm : ScienceAlert 5 Daily Habits Could Be Causing Your Liver Serious Harm : ScienceAlert
Next Article Maniac who stabbed 2, including innocent bystander, at Grand Central is charged with attempted murder: cops Maniac who stabbed 2, including innocent bystander, at Grand Central is charged with attempted murder: cops
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Popular Posts

Deborra-Lee Furness Eyes Romance With John Travolta After Ex’s Cheating

Deborra-Lee Furness Building a New Friendship with John Travolta After Divorce from Hugh Jackman After…

July 30, 2025

A Proposed Amendment to David Hume

In his seminal essay “Of the Independency of Parliament,” dating back to around 1741, David…

March 18, 2025

“He’s Running Scared” – Jill Biden’s Chief of Staff Defies Congress, Abruptly Bails on Scheduled Testimony on Joe Biden’s Cognitive Decline |

The House Oversight Committee's Standoff with Jill Biden's Chief of Staff On Wednesday, the House…

June 26, 2025

Holiday toll zero, but care urged on roads

As Labour Weekend comes to a close, the road toll in New Zealand remains at…

October 27, 2024

President Donald J. Trump Restores American Competitiveness and Security in FCPA Enforcement – The White House

Revamping FCPA Enforcement to Boost American Competitiveness Restoring American Competitiveness: Today, President Donald J. Trump…

February 11, 2025

You Might Also Like

Good news! These ‘positive tipping points’ will help save the world
Environment

Good news! These ‘positive tipping points’ will help save the world

October 30, 2025
What is a merchant bank?
Economy

What is a merchant bank?

October 30, 2025
Nanotyrannus: Dinosaur skeleton settles long debate over ‘tiny T. rex’ fossils
Tech and Science

Nanotyrannus: Dinosaur skeleton settles long debate over ‘tiny T. rex’ fossils

October 30, 2025
Fed Cuts Rates by a Quarter Point, as Expected
Economy

Fed Cuts Rates by a Quarter Point, as Expected

October 30, 2025
logo logo
Facebook Twitter Youtube

About US


Explore global affairs, political insights, and linguistic origins. Stay informed with our comprehensive coverage of world news, politics, and Lifestyle.

Top Categories
  • Crime
  • Environment
  • Sports
  • Tech and Science
Usefull Links
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA

© 2024 americanfocus.online –  All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?