Profits of more than 2% were recorded on Monday for the price of crude oil, surpassing the level of $85 a barrel which was recorded in the oil trading market thanks to a buying momentum that not even the strengthening of the forex trading prices of the dollar could stop. The contract price of crude Oil- January delivery – rose by $1.97 to $85.73 a barrel on the Commodity Exchange in New York, which is the highest level since November 11th.
Crude was able to maintain the gains sparked earlier by the support package towards Ireland and the rumors of a creation of a permanent fund which will handle any similar crisis after 2013. The finalization of the financial assistance of Ireland gave initial impetus to shares and the Euro; unlike the crude oil trading market, these markets were not able to hold the profits due to amid concerns about a possible new rescue packages to Portugal or other European countries.
In recent months, the weak equities and the stronger forex rates of the dollar usually forced crude oil futures to losses as traders look for indications of future demand in all markets. However, this scenario was not verified on Monday. “Even with the forex trading prices of the dollar on the rise, crude showed resistance and maintained the upward movement”, said Tony Rosado, broker of GA Global Markets. Analysts estimate that the resistance of the price of oil suggests that the fundamental supply and demand can sustain the average level of $80 a barrel.
At the same time the gold trading market maintains its upwards swing with the contract of December delivery rising by $3.60 or by 0.3% to $1,366 per ounce on the Commodity Exchange in New York. Profits were recorded also by the Silver trading market, reversing losses which were recorded in the early transactions.
