|News||Crude hits post-recession highs this week|
|Analysis||Crude traded above $105 per barrel today hitting another post-recession high this week as demand prevails, despite of natural destruction in Japan and political upheaval in Arab oil-rich countries.|
Crude today hovers around $105 per barrel recording its highest around $105.70 and lowest around $104.50, while currently trading around $104.88 per barrel.
Oil price continue rising despite of available inventory meeting demand in the US, where this is due to global concerns over supplies possibly shrinking this year as demand only grows; expectations show that 88 million barrels per day will be consumed in 2011, higher than 2010’s 86.7 MB.
Crude last Friday traded around $105 per barrel recording its highest around $105.74 and lowest around $105.25 per barrel, closing around $105.57 per barrel. Futures rallied last Friday to reach 25% since February 15, due to political conflict in the Middle East overwhelming the region as they turn more violent and thereby affecting demand on oil.
Moreover, yesterday NATO agreed to fully grasp military reigns for the UN’s military enforcement in Libya, where allied warplanes shortly after the decision attacked Tripoli and Sirte. The uprising in Libya and Yemen along with other countries threatening supplies in the MidEast region making up 27% of the world’s oil.
On the other hand, Barclays Capital stated that Chinese oil demand managed to gain 15% in 2011. While, Japan was hit with another earthquake this morning with the magnitude of 6.5 sparking fears of possible tsunamis following in the region.
As for NYMEX as of 04:53 EST; motor gasoline fell $0.30 recording $303.530 per gallon; heating is trading around $304.410 per gallon declining $0.35; whereas natural gasoline climbed $0.50 to record $4.425. In London, Brent futures shed $0.50 to record $115.010.