Crude oil futures bounce on firm global cues

Crude oil futures rose by 1.06 per cent to Rs 3,827 per barrel Wednesday after participants widened their bets, tracking a positive trend overseas.

At the Multi Commodity Exchange, crude oil for delivery in January was trading higher by Rs 40, or 1.06 per cent, to Rs 3,827 per barrel with a business turnover of 1,096 lots.

The February rates also moved higher by Rs 51, or 1.34 per cent, to Rs 3,849 per barrel with a business volume of 250 lots.

Marketmen attributed the rise in crude oil prices to raising of bets by traders and a firming trend overseas. Oil prices climbed by more than 1 per cent on Wednesday, lifted by expectations that an OPEC-led supply cut announced last week would stabilise markets as well as hopes that long-running Sino-American trade tensions could ease, say reports.

Meanwhile, West Texas Intermediate (WTI) crude prices rose by 1.2 per cent, to USD $52.25 per barrel while Brent crude, the international benchmark, was trading higher by 1.33 per cent at USD 60.77 per barrel.