Oil prices buoyant amid talk
of $ 100
01 April , 2005,
London: World oil prices rose strongly today in the wake of a
banking study that forecast crude could eventually trade at more
than 100 dollars per barrel, fuelled by robust world demand for
New York's main contract, light sweet crude for delivery
in May, rose 35 cents to 55.75 dollars per barrel in electronic
deals after closing up 1.41 dollars yesterday.
In London, the price of Brent North Sea crude oil for delivery
in May advanced 71 cents to 55 dollars after soaring 2.20 dollars
to close at 54.29 dollars the previous day.
Prices began soaring Thursday after the investment bank
Goldman Sachs warned of a possible "super-spike" in oil prices
above 100 dollars.
"We believe oil prices have entered the early stages of a
super-spike period," said analyst Arjun Murti, who raised his
price range to 50-105 dollars a barrel from 50-80 dollars.
The higher price range was foreseen to last several years
because of "strength in oil demand and economic growth,
especially in the United States and China", Murti said.
Crude oil had reached a record high point of 57.60 dollars per
barrel in New York trading last month on worries about tight
World oil prices have now more than doubled since early
Adjusted for inflation, however, they remain far below levels
reached in the wake of the 1979 Iranian revolution when prices
surged to upwards of 80 dollars a barrel in today's