Press Esc to close
Saturday 20 December 2014
News updated at 6:21 PM IST
Weather
Max: 24°C
Min : 18.2°C
In Bengaluru
Generally cloudy

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
India's Ishant Sharma, center, celebrates with his teammates after he got the wicket...

India's Ishant Sharma, center, celebrates with his teammates after he got the wicket...

India's Umesh Yadav plays a shot during their play on day four of the second cricket test...

India's Umesh Yadav plays a shot during their play on day four of the second cricket test...

Australia's David Warner dives over the boundary rope trying to take a catch during their ...

Australia's David Warner dives over the boundary rope trying to take a catch during their ...

Indian American Richard Verma sworn-in as US Ambassador to India

Indian American Richard Verma sworn-in as US Ambassador to India

People takes protection against cold with woollens...

People takes protection against cold with woollens...

helicopter following a crash during the men's World Cup Downhill skiing...

helicopter following a crash during the men's World Cup Downhill skiing...

a migrant carries a tent trough a field...

a migrant carries a tent trough a field...

King penguins stand on the edge of their tank ...

King penguins stand on the edge of their tank ...

Mount Gamalama spews volcanic ash as it erupts...

Mount Gamalama spews volcanic ash as it erupts...

Kashmiri students wearing shrouds with red colour

Kashmiri students wearing shrouds with red colour

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