WTI oil futures end week over $91 on US supply concerns

15 January 2011 15 January 2011

BonTrade

WTI oil futures end a bullish week for crude, trading firm over $91 a barrel as WTI gained support by the shutdown of a major pipeline in Alaska, raising fresh US oil supply concerns.

WTI Oil Futures – Closing Price

US Light crude oil futures for February 2011 delivery ended the week at $91.66 a barrel on the NYMEX, $3.63 a barrel higher than last week’s closing price of $88.03.

This week’s inventories data from the EIA was positive for WTI NYMEX oil prices, showing that oil stockpiles in the US dropped over two million barrels last week, suggesting a higher level of crude oil demand from the US.

OPEC Happy with Current Oil Prices

Traders and analysts said there was a growing view that OPEC member countries are comfortable with crude oil prices near the $100 a barrel mark.

Earlier this week, OPEC officials have signalled that the group would not add extra oil output to the market unless oil prices move permanently above $100 a barrel level.

“We think there is enough supply and there should not be any meeting at this point in time.” said Shokri Ghanem, chairman of Libya’s National Oil Corporation and the country’s representative to OPEC.