Oil again breaks through $100 after low inventories report

January 03rd, 2008 | Category: Bad News, International Markets, Oil, Commodities, China, India

Oil again traded by $100 Thursday, crossing the psychological barrier for the moment consecutive day, boosted higher by cold weather in the Eastern U.S. and a below-consensus oil stock report.

Moreover, a prolonged cold snap in the northeast combined with one more not good news item from any of the world’s troubled oil producing regions, “will easily keep oil above $100 per barrel,” an energy trader told BloggingStocks Thursday.

“If the cold weather breaks in the northeast, we may trade below $100 for a while, but whether it doesn’t, we should take out and stay above $100 soon,” Jim Dietz, independent energy trader, told BloggingStocks Thursday. “There is

meaningful psychological resistance at $100 and slightly above it at the all-time high, and we could see some proft-taking on the run-up past $95, but that market remains bullish.” Dietz added that he is distant with oil, heating oil and natural gas for both daily and monthly trades. Cold weather in the northeast is expected to final through at least Friday, with low temperatures approach 15 degrees expected in New York for Thursday night.

Continue reading Oil again breaks through $100 after low inventories report

Original post by Joseph Lazzaro

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