By Srinivas Chowdary Sunkara // petrobazaar // 18th Jan, 2022.
Brent oil March futures prices rose 42 cents or 0.49 pct to settle at $86.48 a barrel on London based ICE futures Europe exchange. WTI oil futures prices to be delivered in Feb advanced 53 cents or 0.63% to close at $84.35 a barrel on NYMEX last night. In Shanghai, Crude oil main contract futures prices went up 7.8 Yuan to 534.8 Yuan/bbl while MCX crude oil front month futures prices traded Rs.47 or 0.76% higher at Rs.6265 a barrel yesterday. Brent premium over WTI narrowed down to $2.13 a barrel during the session yesterday.
The world crude oil price index curves demonstrated upside momentum amid supply tightening concerns. Both the benchmark futures traded up, Adding to last week's gains as investors bet on tightening supplies amid signs the omicron variant will not be as disruptive as feared for fuel demand. On the technical side, Portfolio managers purchased oil last week at the fastest rate for 14 months amid growing confidence. Hedge funds and other money mangers purchased the equivalent of 83 Mb in the six most important petroleum-linked futures and options contracts in the week to Jan 11th. Fund managers have purchased a total of 184 Mb over the four most recent weeks as bullish sentiment returned after selling 327Mb in the 10 previous weeks. Today, Asian markets opened in green, continuing yesterday's margins. Bullish sentiment likely to continued since markets are looking beyond Omicron and it affects.
Good day to all.
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