Singapore — A run by US oil prices towards $50 a barrel ran out of steam on Tuesday as persistent concern of oversupply outweighed signs of a strong start to the US summer driving season. US West Texas Intermediate (WTI) crude futures climbed above $50 a barrel in early trading on Tuesday, but dipped back to $49.77 by 3.36am GMT, down 3c. "WTI spot [front-month] did attempt a move higher in thin trading, but failed at the $50 level before slipping back," said Jeffrey Halley, senior market analyst at futures brokerage Oanda in Singapore. Analysts said the early price boost came from indicators that US summer driving had a strong kick-off. US demand for transport fuels such as petrol for cars, diesel for buses and jet fuel for planes tends to rise significantly as families visit friends and relatives or go on vacation during the summer months. The so-called summer driving season officially started on the Memorial Day holiday at the start of this week. "The start of the US driving seas...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.