Oil prices rally

5th July 2011, Comments 0 comments

Oil prices made strong gains on Tuesday after improved manufacturing data in the United States, the world's biggest oil-consuming nation.

Brent North Sea crude for delivery in August advanced $1.91 to $113.30 a barrel in late London deals.

New York's main contract, West Texas Intermediate for August, gained $1.85 to $96.79.

"After a long holiday weekend, crude oil rebounded strongly and posted gains, as concerns eased about the Greek debt crisis," said Sucden analyst Myrto Sokou.

Traders also reacted to news that new orders for US manufactured goods had risen 0.8 percent in May, following a 0.9 percent drop in April.

Market participants are also awaiting the latest interest rate decisions from both the Bank of England and European Central Bank on Thursday.

Further afield, traders will digest the crucial non-farm payrolls data in the United States on Friday.

"The main focus this week will be ... the ECB and BoE interest rate decision on Thursday and the US non-farm payroll figures on Friday that could give a better outlook for the global economy," said Sokou.

The weekly snapshot of US energy inventories will be published on Thursday, one day later than normal, because of the Independence Day public holiday on Monday.


© 2011 AFP

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