U.S. Recovery Predictions Help Push Crude Oil Up To $75
Analysts are touting the Euro which has been seen as a driving force behind the crude market with the only downside being the market is well supported above the $73 mark at the present time.
Crude oil has risen for the July delivery period by as much as 2 percent or $1.47, to $75.25 a barrel in electronic trading on the New York Mercantile Exchange. Brent crude oil for the July period also rose 93 cents to $75.28 on the London-based ICE Futures Europe exchange.
The U.S. dollar has declined against the Euro for the fourth time in the space of five days, giving the Euro the highest gain since June 4. After the Commerce Department released details that the U.S. retail sales fell 1.2 percent in May, oil responded in kind and fell 2.3 percent in June. This was the biggest crude oil drop since September.
Hedge funds still remain cautious when it comes to predicting higher prices in oil futures and on judging exactly how well the U.S. economy will rebound in the short term. Even the most positive thinking institutions cannot easily forget the past turmoil to make even bolder calls when it comes to futures.
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