Oil on the rise
After a two-day rise for the US dollar and slump for oil, a turn in the tide has taken favour of rising barrel prices.
Oil prices have more than doubled since the middle of winter, but recently have come to a stagnant peak around USD70. Last Friday the price of oil reached a seven-month high just above USD70, and declined USD2 below the high this past Monday. Today is a new day, and with that comes the weakening of an influential currency known as the dollar creating a rise in oil towards USD69 a barrel.
There is strong support that the currency exchange rates have been driving the oil markets for almost a month now, and that traders are looking at the dollar more than they are at the equity markets. Another factor driving the current price rally is the prospect of recovering economic times. The possibility of turning away from a bearish market into a bullish one is what will make it into the market reports this week.
Click here for the best currency exchange rates.
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.