Geopolitical risks, outlook for global energy demand push up oil prices

30-Mar-11

Oil prices have risen as investors remain focused on geopolitical risks and the outlook for global energy demand. Brent crude gained to US$115.25 a barrel. Oil prices were under pressure as opposition fighters in Libya regain control of cities and key oil installations. However, prices firmed on a statement by US Secretary of State Hillary Clinton that military action against forces loyal to Moammar Gadhafi will continue until the Libyan leader ceases his attacks on civilians. In addition to political risks in the Middle East, investors are also worried about energy demand in Japan, the world's third-largest economy, following the March 11 earthquake and tsunami.