FX.co ★ Oil review for April 6, 2011

Oil futures grew on Wednesday after mixing earlier amid the information about the US oil reserves growing and at the threat of disorders in the Middle East. By the end of NYMEX trades May futures on low-sulfur oil quotations gained 49 cent (0.5%) and constituted 108.83 US dollars per barrel which is the highest value for the last 2.5 years. Earlier during the session quotations reached intraday high of 109.15 US dollars per barrel that was followed by a decline amid the US Energy Ministry Department data showing a gain in crude oil reserves by 2 mln. barrels. Futures on Brent and ICE oil grew by 8 cent up to 122.30 US dollars per barrel.
Futures on oil have been traded near a new many-year high for a week almost. The civil war in Libya and disorders in the Middle East prevented market participants from hopes for prices’ decrease. Yet, traders have been apprehensive about possible correction, particularly amid growing US reserves. Such a situation resulted in the NYMEX trades volume contraction and caused price growth to slow down since mid-March, which thus constituted USD 10. According to the official data published by the US Energy Ministry, the US oil reserves have been increasing for the fifth week in a row. They have gained 22 mln. barrels since the beginning of the year.
The petrol reserves reduced by 400 000 barrels for the week, while analysts forecasted a decline of 1.7 mln. barrels. The distillate reserves grew by 200 000 barrels.