Oil Rises on Lower US Inventory Report

Crude oil futures closed at $80.40 in New York today, pushed higher by today’s inventory report showing that US crude oil stockpiles fell 3.94 million barrels since last week. Nouriel Roubini – the man credited with predicting the economic crisis – suggested that the recent run up in oil prices has been driven by speculation and not fundamentals, but Tome Bentz, a senior energy analyst at BNP Paribas Commodity Futures Inc. in New York noted the role of the weak US dollar:

“The inventory report today was definitely supportive,” said Bentz. “Prices were already up because of the weak dollar and rising stocks. These numbers just added to the upward momentum.”

Bloomberg

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