Commodity Daily News

Crude Oil Reaching Over $86 A Barrel

Crude Oil has reached a 3-week high lately after peaking at $86.75 a barrel. Crude Oil rose from $81.20 a barrel on Wednesday, to complete 3 consecutive days of rising trend.

Crude Oil's bullish trend seems to be the result of speculations that global demand for energy will increase, mostly due the U.S. recovery signals. The U.S. economy is the biggest oil consumer in the world and thus the series of positive publications is leading investors to believe that demand for oil will increase. In addition, the aid package which was offered to Greece is also supporting oil prices. The Greek economy was the source of high uncertainty in the market lately, and the resolution of its problems is likely to hike risk-appetite, and as a result to boost crude oil.

As for the week ahead, traders are advised to continue follow every update regarding the Greek economy. The Greek rescue package seems to be the main catalyst to impact the market at the moment, and this is likely to remain that way for the near future. In addition, traders should follow the major U.S. economic publications; especially the Non-Farm Payrolls on Friday, as this tend to have an immense impact on Crude Oil trading.