Oil prices inch up on reports of lesser than expected rise in US supplies

07-Feb-14

Benchmark US crude for March delivery inched up to US$97.3 a barrel on the New York Mercantile Exchange, while Brent crude rose to US$106.2 on the ICE exchange in London. Oil prices have seen a marginal hike on reports of a lesser than expected rise in US supplies last week. The Energy Department said supplies of crude oil rose 400,000 barrels last week, less than the 1.5 million barrel increase expected by analysts surveyed by Platts. But analysts cautioned that bad weather sharply curtailed imports, which will likely rebound once shipping conditions improve. Northeast USA endured a second storm for the week, with a mix of snow and freezing rain. Colder temperatures are expected to follow, increasing demand for heating fuels such as natural gas.