US Light oil price trading steady after 5 percent drop

US crude oil futures edged higher above $73 a barrel in trading on Friday after posting their steepest one day percentage fall since July 2009 (5 percent) the previous day when the US dollar soared and demand concerns resurfaced.

More than 496 million barrels worth of front-month crude oil contracts on the NYMEX changed hands, representing enough oil to meet global demand for six days, as volumes spiked in the afternoon trading session.

NYMEX crude oil futures for March delivery was up 29 cents at $73.43 a barrel, after plunging nearly 5% on Thursday, when the US dollar rose to a seven-month high against the euro on growing concerns over the fiscal health of euro zone countries.

Rising US unemployment claims also weighed, along with market talk that a hedge fund had dumped a big oil position that sparked the sell off in crude oil futures.

The precious metal counters has seen a vast range in both the Gold and Silver markets due to large swings in the US dollar. Spot gold last quoted at $1,066.10 per ounce. Comex April delivery Gold traded near $1066.60 while Silver traded at $15.28 per ounce.

The recent sell off was caused by the overall global uncertainty. The Euro traded a seven month low versus the US dollar as the European Central Bank announced it would keep its interest rates unchanged at 1%. The list of European countries disclosing their budget deficit crises seems to be ever growing and most recently has been added to the list of European Union countries in trouble.

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