PXJ: Oil Will Continue to Go Up

Like it or not, oil will continue to go up. Some think that we are in an oil bubble, but the truth is that China and India are sucking up whatever we don't use. Even if the bubble pops, oil will only retreat to about $120 then shoot back up to the $150 levels. The days of easy oil are gone and we are not replacing the depleting fields with new fields quick enough. America and every other growing country is addicted to oil because no other substance has the same energy density. If you really think that demand will drop, think of it this way. The price of oil has gone up over 100% in a year, yet demand has only gone down .5%. 10% of oil goes towards agriculture for shipping and fertilizer. Even if the average american uses 5 less gallons per week, the average Indian or Chinese person will glady pour it into their new vehicle. The reason I like PXJ is because most of the companies provide the equipment needed to explore for new oil. As oil goes up, so will the revenues for the companies that supply the equipment to drill it.