Jan. 5 -- Crude oil rose for a ninth day in New York as freezing weather in the U.S., Europe and Asia and signs of global economic growth bolstered the outlook for demand.
Temperatures in the U.S. Northeast, the area responsible for about four-fifths of the country's heating oil use, are forecast to remain below normal through Jan. 14. Oil closed at a 14-month high yesterday on the cold weather and reports showing that manufacturing grew last month in both China and the U.S.
Fundamentals are more and more encouraging, said Tobias Merath, head of commodities research at Credit Suisse Group AG in Zurich. We have had some positive surprises in economic data and colder weather reaching into the U.S. distillate inventories are the key to a sustainable uptrend.
Crude oil for February delivery rose 37 cents, or 0.5 percent, to $81.88 a barrel at 9:10 a.m. on the New York Mercantile Exchange. Futures touched $81.99 today, the highest intraday price since Oct. 21.
The Climate Prediction Center of the National Weather Service forecast below-normal temperatures from Texas to Maine through Jan. 14.
U.S. inventories of distillate fuel, a category that includes heating oil and diesel, probably fell for a fourth week, according to a Bloomberg News survey before an Energy Department report tomorrow. Stockpiles dropped 1.75 million barrels last week, based on the median estimate from 13 analysts polled.
Brent crude oil for February settlement rose 31 cents, or 0.4 percent, to $80.43 a barrel on the London-based ICE Futures Europe exchange.
