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Oil higher in Asian trade as investor mood improves

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AFPPTI Singapore
Last Updated : Jan 21 2013 | 3:13 AM IST
I / Singapore June 16, 2010, 10:16 IST

Oil climbed higher in Asian trade today, drawing support from investors' positive outlook on the global economy, analysts said.

New York's main contract, light sweet crude for July delivery rose 16 cents to $77.10 a barrel.

Brent North Sea crude for August delivery was 35 cents higher at $77.45.

The jump in crude futures mirrored similar gains in equity markets as investor confidence in the global economy improved, a move that should lead to better energy demand, analysts said.

"The oil market also benefited from the gains on equity markets," analysts from the Commonwealth Bank of Australia said in a market commentary.

In early Asian trade, Japanese stocks were higher with the headline Nikkei index rising 155.16 points or 1.59 per cent to 10,045.05 in the first minutes of trading.

Oil has benefited from a weaker greenback, which tends to boost demand for dollar-priced commodities as they become cheaper for buyers holding stronger currencies.

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First Published: Jun 16 2010 | 10:16 AM IST

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