|News||Crude hovers near $91 shaking off higher OPEC demand forecasts|
|Analysis||Crude traded near $91 per barrel today as trading for the February contract fell ahead of its expiration date, and thereby shaking off OPEC’s high demand expectations, while Alaskan pipeline is restored and restarting production which is further weighing on crude.|
Crude today hovers around $91 per barrel recording its highest around $91.63 and lowest around $90.70, while currently trading around $91.43 per barrel.
OPEC’s monthly report showed that demand is expected to average around 29.4 MB per day this year; gaining by 0.4 MB a day over the gain of 0.2 MB recorded in 2010. Crude received support from the organization pushing prices up on the upbeat demand prospects for black gold.
Crude yesterday traded around $91 per barrel recording its highest around $91.64 and lowest around $90.81 per barrel, closing around $91.01 per barrel. Futures slightly rose yesterday due to the Alaskan pipeline restarting production following repairs in the US, while New York opened trading today after yesterday’s Martin Luther Jr. holiday.
The Aslyeska Pipeline Service Co. stated that it will be increasing flows in production, which make up 11% of US oil overall production, causing futures to drop to their lowest in two weeks by 0.9%. This comes after last week’s 4% jump, when the pipeline leak was first announced making this rise the highest seen in six weeks.
As for NYMEX as of 04:37 EST; motor gasoline rose $0.06 recording $246.620 per gallon; heating is trading around $264.220 per gallon declining $0.11; whereas natural gasoline gained $1.27 to record $4.537. In London, Brent futures jumped $0.46 to record $97.880.