When commodities are rising due to a weak dollar, and the long-term curve is not moving, it is not a good idea to express that move by investing in equities, at least not for the long-term.
Read: Oil’s Artificial Surge Could Lead To A New Crisis
A sudden upswing in crude futures could be enough to fast-track the energy market’s next crisis, one economist told CNBC on Thursday.
Oil prices soared to levels not seen since late 2014 on Thursday, following reports OPEC kingpin Saudi Arabia would be content to see crude prices rally as high as $100 a barrel over the coming months.
“Oil prices are high because the dollar is low,” Daniel Lacalle, chief economist at Tressis Gestion, told CNBC’s “Squawk Box Europe” Thursday.