On 17th May 2012, the prices on oil climbed about $89 a barrel in Asia. However, China and the United States are trying to step forward to strengthen their economies.
At midday Bangkok time in electronic trading on the New York Mercantile Exchange, Benchmark crude was up 18 cents at $88.61 a barrel. The contract mounted $1.33 to end at $88.43 in New York on 16th July 2012. On the ICE futures exchange in London, Brent crude was up 11 cents at $103.48
One big reason for soaring oil prices might be China and the United States attempting to crop up its slowing economies. The United States is the world’s biggest consumer of crude followed by the second-biggest consumer – China.
Ben Bernanke, Federal Reserve Chairmen will talk about additional stimulus on crude prices on 17th July and 18th July 2012.
After Premier Wen Jiabao’s weekend assure of tax reduction and other help to struggling businesses, expectations of possible Chinese stimulus measures increased. China’s second-quarter growth dropped to a three-year low of 7.6 percent while its come back can be expected.
In other futures trading, heating oil was up 0.5 cent at $2.833 a gallon and gasoline climbed 1.2 cents to $2.74 a gallon. Natural gas was stable at $2.801 per 1,000 cubic feet.
Image Credit: Creative Commons/ Korrigan