Oil prices climb above 91 dollars on freezing weather

9th December 2010, Comments 0 comments

Freezing temperatures in Europe and sharp falls to US energy inventories helped push oil prices above 91 dollars here on Thursday, analysts said.

Brent North Sea crude for delivery in January climbed 69 cents to 91.46 dollars a barrel, as icy weather lifted demand for heating fuel.

New York's main contract, light sweet crude for January, gained 81 cents to 89.09 dollars a barrel.

"According to the latest forecasts, low northern hemisphere temperatures will continue to support the oil market for the rest of December," said Filip Petersson, an analyst at SEB Commodity Research.

Prices also won a boost from official data showing a sharper-than-expected decline for crude reserves in the United States, the world's biggest oil consumer.

The data published on Wednesday showed stockpiles shrinking by 3.8 million barrels in the week ending December 3, higher than analyst forecasts for a drop of 1.2 million barrels.


© 2010 AFP

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