US crude futures rise $1.33/bbl on weak dollar

16 July 2012 21:14  [Source: ICIS news]

HOUSTON (ICIS)--NYMEX light sweet crude (WTI) for August delivery settled at $88.43/bbl on Monday, up $1.33 versus the previous close, extending gains to four consecutive sessions, as investors speculated in the currency markets in response to the US dollar falling against a basket of currencies.

US dollar-denominated commodities became more attractive as the currency weakened.

Disappointing retail sales data suggesting slower economic growth revived the hopes of monetary easing by the US Federal Reserve.

The market was also rattled earlier by news that a US Navy vessel had fired on an approaching vessel off the coast of the United Arab Emirates.

After chopping around within a narrow range, impulsive buying lifted August WTI up to $88.48/bbl, up $1.38/bbl before retreating.

Brent also continued to lead the energy complex higher, arising from production problems in the North Sea. The August ICE Brent contract, which expired at the end of the session, topped out at $103.69/bbl before settling at $103.55/bbl, up $1.15. September Brent settled at $103.37/bbl, up $1.95.

By: Ignacio Sotolongo
+1 713 525 2653

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly