The price of Light Sweet Crude Oil Futures is nearing the level of $90,00/b. That is why the data on US oil inventories should be paid special attention to.
It is said that oil stocks have been expanded by 1,1M barrels while gasoline stocks are said to have shrunk by 1.7M barrels.
According to the department of Commodity Trading, , the demand in the market of crude oil is restrained. However, the prices are restrained as well, this time by substantial reserves. One should keep in mind that high oil prices slow down the global economic growth. However, the growing demand for oil is expected to run low as long as the world is hit by another major crisis.
According to the IEA, in 2012 the global economy will need as much crude oil as the OPEC is extracting now. Moreover, The Libyan conflict is said to have reduced the region’s oil production by 300M barrels. The Libyan oil infrastructure will be completely restored only in late 2012.
At this point the market of crude oil is seeing an uptrend.
