21-Dec-2010 11:25 AM

Oil trades close to two-year high

Oil traded close to a two-year high on 20-Dec-2010 as cold weather boosted demand for heating fuels in Europe and North America and amid speculation the US economic recovery will accelerate in 2011 increasing oil consumption (Bloomberg, 21-Dec-2010). Light, sweet crude for Jan-2010 delivery settled up USD0.79 cents, or 0.9%, at USD88.81 a barrel on the New York Mercantile Exchange. With the Jan-2010 contract expiring yesterday, Feb-2011 crude rose USD0.77 cents, or 0.9%, settling at USD89.37. Brent crude on the ICE futures rose USD1.07, or 1.2%, to finish at USD92.74 a barrel.