Cautious optimism lifted Brent above $ 115

Technical analysis for crude oil -14 June 2013

Brent crude oil rose to its highest level in more than three months, exceeding $ 115 a barrel amid cautious optimism about oil demand, after the Federal Reserve pledged the U.S. commitment to the plan of buying bonds, to stimulate the economy and the release of positive data from the euro zone. But a jump in U.S. crude inventories to a record low seasonal last week curbed gains.

Brent crude rose 19 cents to reach $ 115.09 a barrel after hitting 115.25 US dollars per barrel earlier, its highest level since October 16. But in contrast light sweet crude fell seven cents to 97.87 dollars a barrel, after hitting its highest level in more than four months after the first of Wednesday.

The high price of Brent crude oil could compromise the global economic recovery while the European economy will be a factor in determining global oil demand in 2013. Birol said in Tokyo ahead of an industry that the biggest concern for him these days is the price of oil. He added: current high prices, especially in light of the fragility of the global economic recovery.

The current economic situation is not bright picture that Namlha and I think that relatively high oil prices currently represent a major challenge in itself to efforts to revive the global economy. Earlier in January lifted the IEA, which advises industrialized nations on energy policy forecast for global oil demand in 2013 by 240 thousand barrels per day to 90.8 million barrels per day, an increase of one percent from 2012 despite concerns regarding the situation of the world economy .

Birol said” the agency may revise upward its forecast for global oil demand this year, according to the European economy, which will affect recovery on other areas”.

Birol said the gradual slow recovery of the European economy, accompanied with signs of improvement from China, and the United States could lead to the growth rate of better than expected, and the International Energy Agency paid to reconsider their data.