Results 1 to 3 of 3

Thread: Oil edging back toward $100 per barrel after Bhutto assassination

  1. #1
    Vulture of The Western World Eric's Avatar
    Join Date
    Jul 2006
    Location
    The Land of The Edentulites
    Posts
    22,751

    Oil edging back toward $100 per barrel after Bhutto assassination

    SINGAPORE - World oil traded near 97 dollars a barrel in Asia on Friday, its highest level in a month, following the assassination of Pakistani opposition leader Benazir Bhutto, dealers said.

    They said the rise in prices was also supported by a US report showing a higher-than-expected drop in US crude stockpiles.

    In afternoon trade, New York's main contract, light sweet crude for February delivery, was 36 cents higher at 96.98 dollars a barrel after closing 65 cents higher in New York.

    Brent North Sea crude for February rose 45 cents to 95.23 dollars a barrel after a jump of 84 cents in London trade on Thursday.

    Trading volumes remained thin amid year-end holiday celebrations.

    Crude futures had reached record highs near 100 dollars per barrel in November and Tetsu Emori, a fund manager with Astmax asset management in Tokyo, said the Pakistani crisis and other factors gave renewed support to prices.

    "Most of the factors are quite bullish," he said.

    Dealers said Bhutto's killing on Thursday, which plunged the nation into crisis and sparked global condemnation and concern, would have a psychological impact on the market even though the country is not an oil producer.

    There would be "very serious impact" as ramifications from the violence in Pakistan -- a key US ally in the "war on terror" -- play out, said Steve Rowles, an analyst with CFC Seymour securities in Hong Kong.

    "It's not so much what happens in Pakistan. It's what happens in Afghanistan and everywhere else" in the region, Rowles said.

    He added the crisis has brought geopolitical issues back to the forefront of market concerns.

    There are "rising geopolitical tensions in Pakistan... and that is supportive for the crude market," AG Edwards analyst Eric Wittenauer said during Thursday trading.

    MF Global's John Kilduff said that while oil flows would not be directly affected by the Bhutto killing, "it will suggest further destabilisation in an already unstable region."

    Bhutto, 54, a two-time former prime minister and head of Pakistan's most powerful political party, was shot in the neck by her attacker before he blew himself up at a political rally in Rawalpindi, killing around 20 people.

    Emori said oil prices were also bolstered by huge drawdowns in United States crude stockpiles.

    The US Department of Energy's weekly energy report, released Thursday, showed American crude reserves tumbled by 3.3 million barrels to 293.6 million barrels in the week ended December 21.

    That marked the sixth weekly decline in a row and was almost double market expectations of a 1.75-million-barrel drop.

    US energy reserve levels are a key concern for the market because the United States is the world's biggest consumer of energy.

    Emori said the market could also expect a fresh inflow of funds beginning around the New Year period.

    "So I think the market situation should be more steady," he said. "It's quite supportive."

  2. #2
    Staff
    Join Date
    Aug 2006
    Location
    Houston, TX
    Posts
    3,126

    Re: Oil edging back toward $100 per barrel after Bhutto assassination

    I noticed gas went up about 10 cents a gallon yesterday.

    I wonder who was behind that horrible event.

  3. #3
    Vulture of The Western World Eric's Avatar
    Join Date
    Jul 2006
    Location
    The Land of The Edentulites
    Posts
    22,751

    Re: Oil edging back toward $100 per barrel after Bhutto assassination

    Quote Originally Posted by swamprat
    I noticed gas went up about 10 cents a gallon yesterday.

    I wonder who was behind that horrible event.
    Just wait; if Musharraf gets deposed and the radical Abdullah types take over, then the scheisse will really hit the fan!

Similar Threads

  1. Obama's US Assassination Program
    By Eric in forum What happened to our liberty?
    Replies: 3
    Last Post: 08-28-2010, 11:33 PM
  2. Replies: 5
    Last Post: 09-16-2008, 09:03 PM
  3. Edging toward $5 per gallon....
    By Eric in forum Automotive News
    Replies: 2
    Last Post: 06-27-2008, 08:00 AM
  4. Replies: 0
    Last Post: 02-29-2008, 10:04 AM
  5. Oil prices edging up again...
    By Eric in forum Automotive News
    Replies: 3
    Last Post: 02-24-2007, 08:16 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •