Oil Prices Extend Rise Above $62 On Falling Inventories
Oil prices edged higher Thursday, reflecting falling U.S. energy inventories, high fuel oil consumption and the approach of the Northern Hemisphere's winter season.
Light sweet crude for January delivery rose 21 cents to $62.67 a barrel . Brent futures rose 42 cents to $63.49.
Other factors contributing to the market's upward momentum included a decline in the U.S. dollar, the currency in which crude oil is traded. The possibility of further production cuts by the Organization of Petroleum Exporting Countries when it meets next month in Nigeria also weighed on traders' minds.
Oil and gas prices would likely to go higher.
"There are bullish factors in the market finally. I expect prices will rise to $64-$65 in December, according to current trends," Emori said.
Hdemand for heating oil despite relatively warm weather in the U.S.. Requirements should further increase if the forecast cold spell reaches the U.S. East Cost in the next few days.
A strong market would likely preclude any more OPEC cuts, despite statements from oil ministers suggesting cutbacks could be on the agenda of the Abuja meeting.
Oil prices are down about 20 % since hitting a high above $78 a barrel in mid-July 2006.
Light sweet crude for January delivery rose 21 cents to $62.67 a barrel . Brent futures rose 42 cents to $63.49.
Other factors contributing to the market's upward momentum included a decline in the U.S. dollar, the currency in which crude oil is traded. The possibility of further production cuts by the Organization of Petroleum Exporting Countries when it meets next month in Nigeria also weighed on traders' minds.
Oil and gas prices would likely to go higher.
"There are bullish factors in the market finally. I expect prices will rise to $64-$65 in December, according to current trends," Emori said.
Hdemand for heating oil despite relatively warm weather in the U.S.. Requirements should further increase if the forecast cold spell reaches the U.S. East Cost in the next few days.
A strong market would likely preclude any more OPEC cuts, despite statements from oil ministers suggesting cutbacks could be on the agenda of the Abuja meeting.
Oil prices are down about 20 % since hitting a high above $78 a barrel in mid-July 2006.
posted by Ottawa Gas Prices | 11:36 PM
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