Winter keeps crude price above $31/bl

INTERNATIONAL/ENERGY

With stocks of fuel oil in the US at low levels and the severe winter temperatures hitting the West, international crude oil continued its upward trend during the new year breaching the $31 a barrel mark.

The hardening trend was helped by the fact that the Organisation of Petroleum Exporting Countries (OPEC) does not seem to be in any hurry to increase production to bring down prices.

While the domestic prices of petrol and diesel were raised twice during the last month, a third revision could be in the offing on January 15 in case the prices do not abate this fortnight.

The international benchmark Brent (dated) crude, which was hovering at $30.11 a barrel on December 31, moved up to $31 a barrel on January 5, and further hardened to $31.42 a barrel on January 6.

Jet fuel (Singapore), which was being quoted at $38.48 a barrel on December 31, moved down to $38.10 a barrel on January 5, and touched $39.23 a barrel on January 6.

Prices of gas oil (Singapore) with 0.5 per cent sulphur, which were ruling at $37.10 a barrel on December 31, moved up to $37.73 on January 5, and further hardened to $38.83 on January 6.

Naphtha (Singapore), which was being quoted at $37.75 a barrel on December 31, touched $36.85 a barrel on January 5, and hardened to $38.80 a barrel on January 6.