Commodity Daily News

Oil Price Still Holding Near $93

Crude Oil prices held fast yesterday, sticking near the support line of $93 a barrel in late trading. Growth differentials between the Atlantic states have risen into view this week while manufacturing output and service data revealed growing weakness in Europe. This has so far led several large investors and analysts to consider a shift away from the EUR and other risky assets in exchange for the safety of the USD and JPY, despite the inherent weakness growing in the American economy due to the recent ratings downgrade.

As investors sought safety, the value of crude oil, which has been seen holding steady through most of the week, remained as such near $92.50 a barrel. A boom in dollar values due to this week's risk sensitive environment has helped many investors move hesitantly away from assets like gold and silver, with crude oil also appearing to get touched by this sentiment. Oil prices appear to have reached the decision point alluded to all week, with a strong bearish sentiment taking hold, though pressures are mounting to keep the price stable.