Oil prices rose above $91 a barrel Thursday in
Asia amid mixed U.S. crude and gasoline supply figures and violent
street clashes in Egypt.
Benchmark crude for March delivery was up 48 cents at $91.34 a
barrel at late afternoon Singapore time in electronic trading on the
New York Mercantile Exchange. The contract settled 9 cents higher at
$90.86 on Wednesday.
In London, Brent crude gained 88 cents to $103.22 a barrel on the
ICE Futures exchange.
U.S. energy supply data gave mixed signals about the strength of
consumer demand. The Energy Department's Energy Information
Administration said Wednesday that crude supplies rose less than
expected last week but that gasoline inventories jumped more than
analyst forecass to the highest level since March 1993.
Meanwhile, supporters and opponents of President Hosni Mubarak
fought running battles in Cairo on Wednesday and Thursday, leaving
three people dead and 600 injured, after the 82-year-old leader
resisted protesters' calls for his immediate resignation. Shipping
throuh Egypt's Suez Canal has not been disrupted, but investors are
also concerned political instability could spread to oil rich
countries in the Middle East.
Oil hovered in the $70s for most of last year but jumped up in
the fourth quarter and has traded near $90 so far this year,
triggering concerns that igher costs for fuel will spark inflation
and undermine global economic growth.
On Thursday, Australia's national carrier Qantas Airways said it
will boost international fares by $20 to $50 later this month
because of soaring jet fuel prices.
Traders are also mulling a U.S. stock market rally, frigid wnter
weather, Europe's debt problems and a U.S. January employment report
scheduled for Friday.
"We don't remember this many diverse factors competing so
fiercely for oil traders' attention," energy consultants Cameron
Hanover said in a report.
Trading volume was light in Asia as markets in mainlandChina,
Hong Kong, South Korea, Taiwan, Malaysia and Singapore were closed
Thursday for Lunar New Year.
In other Nymex trading in February contracts, heating oil rose
1.3 cents to $2.79 a gallon and gasoline gained 1.5 cents to $2.51 a
gallon. Natural gas futures for March delivery were down 0.9 cent at
$42 per 1,000 cubic feet.
