The US economy grew by an annual rate of 3.5% during the third quarter, the Department of Commerce said last week. That brings the recession to an end in the US and, say analysts, will support bullish sentiment across equity and commodity markets.
Oil prices firmed on the news. Better prospects for US consumers should mean demand for oil rises. In New York, the front-month contract pushed higher towards $80/b again on Thursday following the release of the economic data.
On Friday, however, the market remembered that the dollar is calling the shots. A stronger GDP showing in the US helped boost the currency, in turn putting downward pressure on oil prices. By the close of trading on Monday, front-month oil had retreated in New York to close at $78.13/b. In London, Brent futures closed ...Click here to continue reading US recovery buoys the bulls
