Oppressed Peoples Online Word...The Voice Of The Voiceless

Dedicated to disseminating news & information not found in mainstream media....

SINGAPORE - World oil prices extended their gains in Asian trade Thursday after the political crisis in Egypt erupted

Buying

Oil prices are up on fears Egypt’s crisis could spill over other countries in crude-rich but politically volatile Middle East.

 

 

 into violence.

At least two people were killed and many were wounded overnight in gunfire aimed at protesters in central Cairo demanding the ouster of President Hosni Mubarak, according to witnesses.

The market has been jittery following more than a week of anti-government protests in Egypt due to fears the crisis could spill over to other countries in the crude-rich but politically volatile Middle East.

Brent North Sea crude for March soared 88 cents to 103.22 in afternoon Asian trade.

New York's main futures contract, light sweet crude for March, climbed 65 cents to $91.51.

Ken Hasegawa, energy desk manager at Newedge brokerage in Tokyo, said the violent clashes in Egypt prompted investors to buy oil amid expectations prices could rise further.

"The latest news from Egypt triggered short-covering and fresh buying from funds," Hasegawa said, adding he expects Brent crude to reach $105.

"So far there is no factor to prompt traders to sell. We don't see any sellout in the market at the moment."

He said the spread in the price between Brent crude and the benchmark New York contract is likely to widen further because of oversupply in the US port of Cushing in Oklahoma.

"The unfolding of the situation in Egypt has injected a burst of volatility and uncertainty into oil markets," Barclays Capital analysts said in a client note.

While Egypt is not a major crude producer, the country is home to the Suez Canal, which carries about 2.4 million barrels daily, roughly equal to Iraq's output.

Since the outbreak of unrest in Egypt more than a week ago, oil prices have risen on fears of disruption to the artificial waterway that links the Mediterranean and the Red seas.

"The situation introduces risks and uncertainties that are likely to be highly significant in terms of the broader political evolution of the region," analysts at Barclays Capital said.

Oil prices were climbing despite data showing weak demand in the United States, the world's biggest oil consumer.

The latest weekly stockpiles report from the US Department of Energy showed reserves had increased sharply for the third week in a row.

Crude oil stocks rose 2.6 million barrels to 343.2 million in the week ending January 28, in line with expectations.

At the almost-full depot at Cushing reserves rose 600,000 barrels to 38.3 million

Views: 21

Comment

You need to be a member of Oppressed Peoples Online Word...The Voice Of The Voiceless to add comments!

Join Oppressed Peoples Online Word...The Voice Of The Voiceless

Blog Posts

Forum

Allah سبحانه و تعالى said : “This day, I have completed your religion for you”

Allah completed the religion through him and the proof is His saying, He, the Most High: «This day, I have completed your religion for you, perfected My blessings upon you, and am pleased…Continue

Started by karriem el-amin shabazz in Sample Title Sep 8, 2022.

The argument about Resurrection and life after death!

Allah says: “Nay! I swear by this city. This city wherein you have been rendered violable, and I swear by the parent and his offspring” (90Al-Balad:1-3) To begin a conversation, in Arabic with Nay,…Continue

Started by karriem el-amin shabazz in Sample Title Jul 29, 2022.

The question: When will the threat of Resurrection be carried out?

After Tauhid the other question about which a dispute was raging between the Prophet (pbuh) and the disbelievers was the question of the Hereafter. Here, before giving the arguments, the Hereafter…Continue

Started by karriem el-amin shabazz in Sample Title Jun 18, 2022.

This is the Truth: The Garden of Eternity, or the Blazing Fire!!!

Allah says: “Tell them, (O Prophet): “Did you consider (what would be your end) if this Qur'an were indeed from Allah and yet you rejected it? And this, even though a witness from the Children of…Continue

Started by karriem el-amin shabazz in Sample Title Jun 1, 2022.

Badge

Loading…

Groups

© 2024   Created by Bilal Mahmud المكافح المخلص.   Powered by

Badges  |  Report an Issue  |  Terms of Service