Thursday, February 22, 2007

Oil Breaks $60/bbl. Will it Close there?

From FxStreet:

Oil broke through the 60 usd level as US stocks of distillates dropped by more than the market had expected

Data from the Energy Information Administration showed that last week distillate stocks, which include heating oil, fell by 5 mln barrels against analysts' expectations of 3.5 mln barrels

Gasoline inventories fell by 3.1 mln barrels against expectations of a 950,000 drop

Closing above $60 will be a significant psychological event.