Oil stocks are back up Tuesday, amid confusion about the situation in Tripoli. After falling yesterday, oil stocks rose today in Europe, and prices for benchmark oil for October delivery were up to nearly $86 in Paris in the afternoon.
Stocks rise sharply after last week's 4 percent loss on the Dow. But traders caution that the bounce in stocks may not last.
Two recent books examine America's addiction to crude oil, blaming it on the oil "kings" and "barbarians" of the Middle East.
Many are forecasting higher oil prices next year, due to increased global consumption and decreased output from Libya and other oil-producing nations. That could threaten global economic recovery.
Oil prices rose after the Fed's announcement on Tuesday that it would hold interest rates low for the next two years. Still, oil prices are down about $18 a barrel since July 22.
President Obama on Friday unveiled fuel-efficiency standards of 54.5 miles per gallon by 2025 – a significant step in dealing with emissions and oil consumption.
Crude oil moved above $91 a barrel Friday, a day after the International Energy Agency announced it would release 60 million barrels of crude oil from reserves.
The Dow fell more than 170 points, continuing a losing streak that is the worst since 2002.
The Dow gained about 75 points, as stocks closed higher for the first time in June
After gains early in the day, the session closed lower, with the Dow declining about 19 points