Oil prices mixed on weak demand from USA

07-Mar-14

New York's main contract, West Texas Intermediate (WTI) for April delivery, fell to US$101.1 in mid-morning trade, while Brent North Sea crude for April rose to US $ 107.9. Oil prices were mixed in Asian trade on data showing weaker US energy demand, as Russia comes under international pressure following its seizure of Ukraine's Crimea peninsula, as per economictimes.com. The US Department of Energy said commercial crude-oil inventories rose 1.4 mln barrels in the week ending February 28, more than analysts' consensus estimate of a 1 mln barrel gain. Investors are also keeping an eye on developments in Ukraine after Russian-backed troops moved into Crimea, sparking the worst crisis in Europe since the Cold War. Russia vies with Saudi Arabia as the world's largest crude oil producer, and is the second-largest producer of natural gas. More than 70% of its gas and oil exports to Europe pass through Ukraine, and analysts fear that an escalation of the crisis could lead to a disruption in supplies.