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Crude oil prices start 2010 trading around the $80 mark
Published on January 1, 2010 by oilprices · No CommentsCrude oil prices will start the 2010 new year trading around the $80 mark when the markets open on Monday 4th January. Oil prices have risen eighty percent from a year ago as oil traders were heartened by mounting evidence that the global economy was on the mend, with the eurozone, Japan and the US emerging from a deep recession.
US Light sweet crude oil futures for delivery in February, crept eight cents higher to close at $79.36 a barrel, while in London, Brent crude oil futures for February fell 10 cents to settle at $77.93 on the ICE Futures Exchange.
Amid thin trading as many market participants were away from their desks ahead of the New Year holiday Friday, the New York contract managed to reach the pyschological level of $80.00 in intraday trade.
“Momentum seems to run out near $80 as market participants ponder the conundrum of whether or not a sustainable recovery is actually underway,” said Mike Fitzpatrick at MF Global.
The oil market ran counter to other markets, overcoming a slightly firmer US dollar that makes oil more expensive and slumping Wall Street equities. The positive bias “shows near-term oil supply and demand strength,” said Ellis Eckland, an independent analyst.