Commodity Daily News

Oils Falls in Response to Rising Dollar

Yesterday's trading session saw a drop in Crude Oil prices, largely due to the bullish movement of the USD. Seeing its highest levels since late 2007, the greenback, along with news of sufficient oil supplies, pushed prices for Light Sweet Crude to as low as $104.80 per barrel yesterday.

Supply numbers received a steady boost yesterday as hurricane news from the Gulf of Mexico showed that Ike, the latest weather system to threaten US oil supply, had been downgraded to Category 1. Crude Oil also fell following words from Saudi Arabian Oil Minister Ali Al-Naimi on his arrival to the latest round of OPEC meetings in Vienna. He stated that supply was ‘healthy' and that prices in the market were ‘well-balanced'. News from the OPEC meetings will likely drive more volatile sessions for Crude Oil in the coming day.