Oil prices rose today after Chinese trade data surpassed expectations, generating optimism that an economic revival in the world’s second biggest oil consumer could create a higher demand for fuel.
Brent crude increased 50 cents to $112.26, while US crude rose by 55 cents to $93.65 per barrel, reported Reuters.
Import and export growth in China in December exceeded analyst forecasts and increased the country’s trade balance to $31.6bn, from November’s $19.6bn.
Exports rose 14.1% in December from a year earlier and from 2.9% in November, surpassing analysts’ expectation of an annual growth of four percent. Imports increased by six percent, also outshining market forecasts of a three percent rise.
China’s General Administration of Customs said that crude oil imports increased by 6.8% in 2012 over the previous year, corresponding to the 6.7% rate reported in December for January to November.
The rise in oil price was restricted, however, as investors awaited the post-meeting news conference of the European Central Bank (ECB).
Analysts predict that recent figures indicate some stabilisation, while ECB President Mario Draghi may offer a positive comment in the news conference, following the rate decision.
In the US, commodities that are priced in dollars, such as oil, have come under pressure as the currency has gained some strength recently.
Oil prices in the country plunged after data revealed that gasoline inventories jumped to a two-year high, while crude oil production increased above to seven million barrels per day for the first time in about 20 years.
Image: In December, import and export growth in China exceeded analyst forecasts and increased the country’s trade balance to $31.6bn from November’s $19.6bn. Photo courtesy of Ecow.
