Press Esc to close
Friday 30 January 2015
News updated at 2:37 PM IST
Weather
Max: 28°C
Min : 17°C
In Bengaluru
Sunny day

Oil prices edge higher in Asian trade

Singapore, Jul 16, 2013, (AFP) :

Oil prices edged higher in Asian trade today as investors anticipated a fall in US crude inventories for the third consecutive week, renewing hopes of resurgent demand, analysts said.

New York's main contract, West Texas Intermediate light sweet crude for delivery in August, gained eight cents to USD 106.40 a barrel in morning trade, while Brent North Sea crude for August delivery was up seven cents to USD 109.16.

"Investors think there is potential for the US crude stockpiles to dip further, and that is putting upward pressure on prices," Jason Hughes, head of sales trading at CMC Markets in Singapore, told AFP.

Oil inventories in the United States have fallen more than 20 million barrels over the last two weeks, according to data from the Energy Information Administration (EIA).

The rapid drawdown in US crude stocks comes amid the country's busy driving season, when Americans take to the roads for their annual summer holidays.

The EIA will release the official crude inventory data for the week to July 12 later Wednesday.

Gains over upbeat sentiment about crude demand in the US have however been limited by a stronger dollar and concerns that the US central bank will taper off its economic stimulus measures soon, Hughes said.

Dollar-priced oil becomes more expensive for holders of weaker currencies if the greenback strengthens, denting demand and putting downward pressure on prices.

"There also remains some concern that all the upbeat sentiment about the US economy will translate to stimulus tapering by the Fed," Hughes said.


Go to Top

Photo Gallery
A groom leads his horse in the equine pool after working out on the track, during early morning...

A groom leads his horse in the equine pool after working out on the track, during early morning...

A handler bathes a horse after a training session ahead of the Indian Derby in Mumbai...

A handler bathes a horse after a training session ahead of the Indian Derby in Mumbai...

Ladakhi women offering prayers during the inauguration of traditional Buddhist prayer...

Ladakhi women offering prayers during the inauguration of traditional Buddhist prayer...

A Police man takes pictures as the Raisina Hill which houses India's most important ministries...

A Police man takes pictures as the Raisina Hill which houses India's most important ministries...

A man walks on a snow covered path after in Srinagar on Thursday. Temperatures drop due...

A man walks on a snow covered path after in Srinagar on Thursday. Temperatures drop due...

A scene after light snow fall at Dal Lake in Srinagar on Thursday...

A scene after light snow fall at Dal Lake in Srinagar on Thursday...

Migratory seagulls are seen above the river Ganga during Magh Mela in Allahabad...

Migratory seagulls are seen above the river Ganga during Magh Mela in Allahabad...

President Pranab Mukherjee leaving for Beating Retreat ceremony from forecourt...

President Pranab Mukherjee leaving for Beating Retreat ceremony from forecourt...

School children perform during presentation of National Bal Shree Honour 2011 & 2012...

School children perform during presentation of National Bal Shree Honour 2011 & 2012...

Bollywood actor Anil Kapoor during inauguration of International Bicycle & Fitness Expo...

Bollywood actor Anil Kapoor during inauguration of International Bicycle & Fitness Expo...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523