Brent oil price back near $75 as ICE Dollar Index dips

Brent crude oil prices open Friday’s trading session higher, nearer the $75 a barrel mark as stock markets weaken and the US ICE Dollar Index dips back under 83.

In London, Brent crude oil futures for October 2010 delivery was at $74.85 a barrel, 07.45 GMT on the ICE Futures Exchange after finishing the last two trading sessions higher.

The ICE Dollar Index, which tracks the US dollar against a trade weighted basket of currencies, was at 82.956 from 83.275.

Markets Await US Fed Meeting

Markets have been quiet ahead of the release of US data including the second estimate of US second quarter GDP and the expected comments from Fed Chairman Ben Bernanke from the central bank’s annual meeting later today.

“And it depends on what Bernanke says. If he mentions anything about further stimulus measures, risk currencies might get a boost but if he says the economy is chugging along, just not as good as we thought but don’t worry folks, and leaves it at that, then it might not be so good.” said Westpac currency strategist Imre Speizer.

“We’re seeing a bit of a pause, with some position adjustment and profit taking on short positions ahead of US data and Bernanke tomorrow,” said CMC Markets analyst Michael Hewson.

The Fed has been meeting at Jackson Hole every August since 1982 to discuss big issues in the economy and policy. The last few years have had an added air of drama because of the financial crisis. In 2008, Mr. Bernanke and his top lieutenants spent much of the conference in a side room plotting strategies for a worsening situation.

Brent oil futures are holding onto gains Friday in Asia and were finding support ahead of this speech by Bernanke in which he may suggest more stimulus measures for the US economy.

Tags:  brent, brent oil price, dollar, dollar index, futures, ICE, oil, oil prices, oil trading, prices, stock