News

December 18, 2009

OPEC Looks Like Leaving Production Levels Unchanged At Its Last Meeting Of 2009 As Prices Firm Up

By Eithne Treanor

After another volatile week on the oil market, the price came back above US$70 fueled by optimism of demand to come and brighter prospects for the global economy. This has been the biggest gain since October with the oil price trading above US$73 a barrel.

This increase of almost 5 per cent this week was a result of stronger figures coming from the world’s biggest energy consumer. The Philadelphia Federal Reserve reported better factory output in its manufacturing index this month, signaling an increase in fuel demand to come, but this was tinged by an increase in jobless claims. Economic indicators from Germany were more positive and European stock markets rallied this week.

Cooler weather in American mid-west and east helped to boost demand...