WTI Crude to Trade Above Brent in 2011

Commodities remained steady in European session ahead of US data. Trading is thin, however. The front-month contract for WTI crude oil little changed above 90 while the benchmark contract for gold moved sideways above 1380. In 2010, WTI crude oil underperformed other benchmarks such as Brent and Dubai. We believe this was due to sluggish US recovery. The robust pace of Asian economic growth also tightened balances of Dubai and European crude, driving prices higher. The situation will change in the coming year as US economic growth gathers momentum.

Read more:
WTI Crude to Trade Above Brent in 2011