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The credit crisis still weighed on crude oil prices

Although the credit crunch has eased, but the current credit crisis weighed on oil prices.

This manifests itself as in recent months, crude oil futures contracts far months contracts posted waters expand, the so-called futures markets at favorable price structure.

typically, this phenomenon occurs because of ample inventories rising storage costs, and in order to make up for the cost, forward prices subsequently rise. But inventory levels are not too high, so that the credit crunch is more likely to be the reason for this phenomenon.

analysts said this indicates that the credit crisis impact on the crude oil market has not receded, and in the context of weak economic fundamentals will continue to increase the downward pressure on oil prices.

at present, crude prices for delivery in December 2009 contract for December 2008 delivery discount $ 9.60, the spread is about twice the beginning of October. Current United States crude oil stock levels and roughly a year ago, and at the end of 2006 at favorable price structure of stock levels fell by 7%. Latest NYMEX December crude fell $ 3.11 at $ 59.30 a barrel.

analysts expect last month launched a series of global fiscal stimulus, including the weekend of China's just-announced $ 586 billion spending plan, by the end of 2009 in order to drive the oil price rise. While the Organization of petroleum exporting countries (OrganizationofPetroleumExportingCountries) programme of cuts may not immediately shore up prices, its full impact is difficult to appear before January 2009.

Goldman Sachs predicted that oil prices could rebound by the end of next year to $ 102 a barrel level.

GMT 11:18 New York Mercantile Exchange (NYMEX), December crude Futures at $ 58.93 a barrel.

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