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Brent oil price hovers at $81, investors stay cautious
Published on March 19, 2010 by oilprices · No CommentsICE Brent crude oil price is hovering around the $81 mark in light trading on Friday as investors stay cautious, waiting for global oil demand recovery to take place. Brent crude oil futures for May delivery on London’s ICE Futures Exchange fell 22 cents to $81.26 a barrel.
Expectations that economic recovery will spur stronger demand for oil continues to underpin prices, but the market is still waiting for data from the US to show tighter supply.
“In recent times, we’ve seen oil prices getting up towards $82 to $83, but retreat from there,” said David Moore, commodity strategist at Commonwealth Bank of Australia, adding that buyers have become more cautious when prices moved higher within the recent oil trading range.
“If the US dollar holds this strength (due to weakness in the European Union and Chinese interest rates) and volatility keeps increasing, $85 will be a hard bound to break,” said Stephen Schork, author of The Schork report.
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