Brent oil price ends week firm at $97 on weaker US dollar

22 January 2011 22 January 2011

BonTrade

Brent oil futures ended Friday’s trading session firm over $97 a barrel as a weaker US dollar helped Brent oil sustain levels close to the $100 mark, last seen for the first time on the oil futures market in October 2008.

Brent Oil Futures – Closing Price

Brent crude oil futures for March 2011 delivery ended the week’s trading session at $97.63 a barrel on the ICE Futures Exchange, which is $0.87 lower than the February contract’s close last week at $98.50.

Meanwhile, the ICE US Dollar Index, which tracks US dollar performance against six major world currencies closed at 78.21, from 79.16 a week earlier. A weaker US dollar tends to support commodity prices including oil futures.

Oil Prices Trading Sideways?

“Oil prices were supported slightly by the weaker US dollar and stronger European equity markets, however, it seems that the market sentiment is not as strong as it was two days ago.” said Sucden Financial energy analyst Myrto Sokou.

“Investors might be cautious, as crude oil prices are likely to trade sideways, struggling for some clear direction in the short term.” added Sokou.