NEW YORK - Crude oil prices surged above the level of USD71 per barrel, in trading (8/10/2009) local time, following a weak U.S. dollar exchange rate. Rising oil prices anomaly with excess oil reserves.
The price of oil contracts for November delivery rose $ 2, 12 to USD71, 69 per barrel based on the New York Mercantile Exchange (NYMEX). While in London, the price of Brent crude also rose $ 2, 57 to USD69, 77 on the ICE Futures. Strengthening these, also followed the price of natural gas and liquid oil prices.
"This made me wonder. With the excess of oil supply, oil prices could skyrocket," said analyst Dan Flynn PFGBest, as quoted by Reuters on Friday (9/10/2009).
Report The Energy Information Administration (EIA) said this week the U.S. oil reserves will continue to increase. The number of oil and gas reserves are above average and distilled oil has occupied the highest level since January 1983. While the amount of natural gas reserves itself creates a new record earlier this month. In Thursday trading yesterday, EIA said the number continues to increase in reserves last week to 3.66 trillion cubic feet.
U.S. dollar has lost some of its exchange rate against major world currencies, in line with the government stimulus program. Furthermore, there was a rumor a few countries such as Japan, China, France, and Russia who intend to seek a replacement position in the U.S. dollar oil trade.
