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Wall Street Breaths as Oil Prices Drop

Wall Street stocks rebounded as a result of Tropical Strom Ernesto new predictions. The Atlantic Ocean`s first hurricane of the year has been downgraded and probably won`t hit the Gulf of Mexico. This turn of events led to a sharp and sudden drop in oil prices as the Gulf of Mexico hold some of the world`s key oil facilities ? that are now safe again.

The falling oil prices led to increased investments in retail and transportation stocks, and it seems that the market is pulling up again and sets itself for September. There was much concern regarding an upcoming inflation due to soaring oil prices with the ongoing crisis with Iran, but now things have calmed down, and the market seems to stabilize.

With Ernesto bypassing the Gulf of Mexico, and heading towards Florida instead, oil prices fell to $70.61 a barrel, and gasoline went down to $1.78 a gallon. Some stocks even reached new highest with this late awakening. PepsiCo Inc touched an historic high, Coca-Cola Co. came very close to a 52-week high, and Standard & Poor`s 500 went up by 6.69 points, or 0.52 percent.