The price of Brent crude oil futures opens Monday’s trading session at $123 a barrel as last weeks decline in oil prices seem to have hit a bottom after talks over strategic oil reserve releases had crude on the back foot. Latest Brent Oil Price In London, Brent crude oil futures for May 2012 delivery was trading at $123.06 a barrel, 07.56 GMT today on the ICE Futures Exchange. Last Friday, Brent crude oil futures for May delivery rose $0.49 to settle the week at $122.88 a barrel. Strategic Oil Reserves Western countries could tap their strategic oil reserves to try to rein in rising oil prices, as several are considering, but analysts warn it may have only a limited and temporary effect. It’s important to save strategic oil reserves for when they’re really needed. If oil reserves are drawn upon every time oil prices trade higher, eventually the reserves will be gone, leaving no buffer to deal with genuine emergencies. Last week, French officials disclosed that Washington had proposed dipping into it’s oil reserves, the clearest indication yet that major consuming nations may act to counter the recent surge in prices. The comments pushed down both Brent and WTI oil prices but they began to climb back up on Friday as it became clear that no moves were imminent. With Brent crude soaring over $126 a barrel in London at the beginning of last month, levels unseen since 2008, there are increasing concerns fuel costs could damage a still fragile global recovery. Analysts doubt that that a coordinated release of oil stocks by major industrialised nations, which they did during the Libya conflict last year, would have a lasting effect on oil prices. “A tactical use of the reserves would certainly have an impact on the market but it would be temporary because the underlying problem is an increase in demand while supply is limited by constraints on production.� said Luca Baccarini at Energy Funds Advisors.

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