Oil prices stood above $83 a barrel on Monday, after earlier hitting a
fresh 15-month high, supported by data showing
China
's
crude oil imports surged by nearly 25 percent in December and as the dollar
weakened.
The prolonged cold snap in the
U.S.
and
Europe
continued to boost demand for heating fuel, lending support to oil
prices.
U.S. crude for February delivery rose 42
cents to $83.17 a barrel by 1456 GMT (9:56 a.m. EST), off an earlier peak of
$83.95, the highest price since October 2008.
London Brent crude gained 27 cents to
$81.64.
But oil is still 43 percent below its
July 2008 high of more than $147 a barrel.
"The weak U.S. dollar, cold weather
and robust Chinese import data are all supporting oil today," said Carsten
Fritsch, oil analyst at Commerzbank in Frankfurt.
"At the moment the market is only
looking at positive data, not negative numbers," he added.
China, the world's second-largest energy
consumer, imported over 20 million tonnes of crude for the first time ever in
December, up almost a quarter from November, according to Customs data
published on Sunday.
For a graphic on Chinese crude oil
imports, click here:
here
Asian equities rose to a 17-month high on
Monday as a strong rebound in China's exports raised optimism about the
region's economic outlook, while the dollar fell 0.53 percent against a basket
of currencies.
A weaker U.S. currency makes commodities
priced against the dollar, like oil, cheaper for those holding other
currencies.
For a graphic on the negative
correlation between the U.S. dollar and crude, click here:
here
$CR0110.gif
Tensions in Nigeria's main oil producing
region have removed some supplies from the market, supporting prices, and
traders will be watching carefully for further developments.
Chevron said on Saturday it had been
forced to shut down 20,000 barrels per day (bpd) of crude oil production in
Nigeria, a day after security sources said gunmen had attacked a pipeline
operated by the U.S. firm.
Saudi Arabia, the world's top oil
exporter, will keep crude supply to major Asian and European buyers largely
steady in February, as the kingdom sticks to OPEC supply cuts, industry sources
said on Monday.
(from
Reuters)