Brent oil trading back at $98, ICE US Dollar Index supports

27 January 2011 27 January 2011

BonTrade

Brent oil prices open Thursday’s trading session back at $98 a barrel after a three percent gain yesterday, while the US dollar continues to weaken, as seen by movements on the ICE US Dollar Index.

Latest Brent Oil Price

In London, Brent crude oil futures for March 2011 delivery was trading at $97.91 a barrel, 08.00 GMT on the ICE Futures Exchange.

Meanwhile, the ICE US Dollar Index, which tracks the US dollar against six major world currencies is at an 11 week low, currently at 77.753.

Brent Oil – WTI Oil Spread

The spread between ICE Brent and WTI NYMEX crude oil futures continues to widen, with Brent oil prices trading at around a $10 premium to it’s WTI counterpart.

“The market for WTI has continued to dislocate, with pricing reflecting fears of localised distressed crude and values lagging more than $9 below Brent.” said analysts at Barclays Capital.