Crude trades at thirty-month high level

Prices stay above $108 mark on supply worries

Oil prices gave up early weakness and ended at thirty-month high levels on Monday, 04 April 2011 at Nymex. Continuing Mid East and North African crisis together with a weak dollar pushed up crude prices today.

On Monday, crude oil futures for light sweet crude for April delivery closed higher by $0.53 (0.5%) at $108.47/barrel. Earlier prices traded as high as $108.78. Last week, prices gained 2.4%.



For the year till date, crude prices have gained 19.5%. Crude prices gained 10% in March 2011. For the first quarter of this year, crude gained 17%.

Oil lost steam as floor trading began, wavering between small gains and losses as unrest in the Middle East and North Africa provided support, but the higher prices spooked some investors. As conflict in Libya and elsewhere in the Middle East and North Africa shows no signs of a speedy resolution, prices reversed course and stayed at thirty month high levels.

In the currency market on Monday, the dollar index, which weighs the strength of the dollar against a basket of six other currencies, stayed weak for the entire session but reversed course later in the day.

Among other energy products on Monday, gasoline for May delivery ended up 2 cents to $3.17 a gallon. May heating oil added 4 cents, or 1.2%, to $3.17 a gallon.

Natural gas futures traded lower, however, with the May contract ended down 7 cents, or 1.7%, to $4.29 per million British thermal units.

At the MCX, crude oil for April closed lower by Rs 14 (0.3%) at Rs 4,811/barrel. Natural gas for April delivery closed lower by Rs 2.1 (1.1%) at Rs 192.7.