Oil Rises on Obama 1 Trillion Package

Friday, October 9, 2009

Rumors about the size of Barack Obama`s stimulus package sent oil prices higher this morning. People familiar with this matter say that the stimulus package may reach 1 trillion dollars versus the half trillion considered just 2 weeks ago. This is very bullish for crude oil prices beacause its a very inflationary measure and is a possible real stimulus for a very depressed economy.

Obama has said the package will include an initial tax cut and a massive infusion of funds for roads, bridges, water systems, school repair, spreading broadband access, promoting health-care information technology, improving energy efficiency in buildings, renewable-energy projects, and assisting struggling state and local governments. But the balance of those projects is still under debate.

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