Barrel Price Catches Out the Market

Speculating on oil is a rich man’s horserace but one that so many think they can predict more easily than today.

The price per barrel spiked at almost 5% higher by close despite expected reports by the US that would indicate a further downward trend in prices.

Brent closed in New York at $48.75 a rise of $2.22. The markets had been looking at a long fall towards $40 but speculation is that demand in the US will increase next year and official figures back that up.

Not an end, not maybe the beginning of the end but reason for a touch of optimism nevertheless.

Source: Reuters

Leave a Reply

Your email address will not be published. Required fields are marked *