DUBAIM - Top oil exporter Saudi Arabia sees factors other than demand behind oil’s rise this week to $60 a barrel, Saudi-owned newspaper al-Hayat reported on Thursday.
“The Saudis said that the recent rise in oil prices does not reflect the reality of demand,” al-Hayat said, citing French sources after French Economy Minister Christine Lagarde met Saudi King Abdullah and his Oil Minister Ali al-Naimi on Sunday.
The Saudis said factors other than oil market fundamentals had affected the price, al-Hayat reported the sources as saying.
U.S. crude CLc1 traded around $57.50 a barrel on Thursday, after hitting a six-month high of $60 a barrel on Tuesday. Oil has risen 75 percent from a January low of $32.70 a barrel despite rising inventories and weak demand.
The oil market has followed equities markets higher this month as investors look for signs of an economic recovery that would eventually bring higher energy consumption.
LONDON - After New Year cheer, reality is starting to bite. Several factors have doused the rallies in some key basic resources this year, including dollar strength and concern about regulation, but most noticeable are the steps taken by commodity consuming giant China to curb excessive loan growth.
WASHINGTON - U.S. wholesale inventories unexpectedly fell 0.8 percent in December, while sales rose 0.8 percent, a government report showed on Tuesday.
