LP:Brent oil price flirts with $111 as Euro worries continue
Brent oil prices open today’s trading session around $110 a barrel as worries about the European economy and debt laden EU countries continue to weigh on Euro stocks, whilst Asian markets again head lower this morning.
Latest Brent Oil Price
In London, Brent crude oil futures for October 2011 delivery was trading at $110.32 a barrel, 07.00 GMT this morning on the ICE Futures Exchange.
Yesterday, Brent oil prices rose over $2 to $111.15 a barrel, and touched $111.74 in early trading.
Stock Markets
Asian stocks sank Thursday, whilst Japan announced that exports had fallen for the fifth straight month in July.
London and Frankfurt stock markets ended Wednesday’s session lower and Euo markets are expected to open lower, while investors are unimpressed by the results of Tuesday’s Franco-German governmental meeting.
“Oil came off with the decline in stock markets in a risk off phase. After the correction, what we’re looking at is the oil market’s return to its own dynamics.” said Harry Tchilinguirian, head of commodity strategy at BNP Paribas.
ICE US Dollar Index
Brent oil prices also found support from a sharp weakening in the US dollar against the euro.
The ICE US Dollar Index was this morning at 73.960 from yesterday’s closing price of 73.758, making US dollar priced commodities more attractive for buyers using stronger currencies.
