Wednesday, December 1, 2010
Bloomberg: Crude Oil Rises on Gain in Chinese Output, Reduced European Debt Concern
“As the global economy goes, so goes oil,” said Andre Julian, chief financial officer and senior market strategist at OpVest Wealth Management in Irvine, California. “The economic numbers in China and elsewhere today have been very strong and point to accelerating growth.” Crude oil for January delivery increased $2.16, or 2.6 percent, to $86.27 a barrel at 12:30 p.m. on the New York Mercantile Exchange. Prices climbed to $86.47, the highest level since Nov. 12.
Brent crude oil for January settlement rose $2.32, or 2.7 percent, to $88.24 a barrel on the London based ICE Futures Europe exchange. Goldman increased its forecast for U.S. gross domestic product growth next year to 2.7 percent from 2 percent. The U.S. economy will expand 3.6 percent in 2012, according to a report sent to Goldman Sachs clients today. The global economy will expand 4.6 percent next year and 4.8 percent in 2012, the bank said.
“Goldman has been banging the bull drum all year,” said Phil Flynn, a Chicago-based analyst and trader with investment adviser PFGBest.......Read the entire article.