Crude prices rose in Asian trade Thursday ahead of a crunch European Union summit on euro zone debt but doubts linger over whether leaders can come up with a solution to the crisis.
New York's main contract, light sweet crude for delivery in January, rose 16 cents to $100.65 a barrel. Brent North Sea crude for January delivery gained 47 cents to $110.00.
Analysts said that prices were capped by diminished expectations for the upcoming EU summit. European leaders are to meet in Brussels later today for a two-day summit centred on finding a lasting solution to the two-year-old debt crisis, which has hit global markets.
Despite worries over the euro zone, prices are being supported by the ongoing concerns about Iran, with Europe looking to impose an embargo on imports of the country's oil due to concerns over Tehran's nuclear ambitions.
The Organisation of Petroleum Exporting Countries (OPEC) Secretary General, Abdullah El-Badri, expressed hope yesterday that the EU would refrain from sanctions on Iranian oil exports. Iran is one of OPEC's major members and exports 865,000 barrels a day to the whole of Europe.
