NEW YORK (Reuters) - Oil prices surged more than $1 on Wednesday as the re-election of President Bush (news - web sites) countered the impact of a big increase in spare oil supplies ahead of winter.
Crude dealers said Bush's victory over Democrat Senator John Kerry (news - web sites) could bolster U.S. fuel demand and underscore anxiety over the security of Middle East oil shipments.
U.S. light crude settled up $1.26 to $50.88 a barrel, climbing back over the psychological $50 mark after settling below it for the first time in a month on Election Day. Brent crude was up $1.01 to $47.56.
A second Bush administration will likely continue filling U.S. emergency oil stockpiles despite high prices and could stoke nerves about U.S. policy in the Middle East, particularly OPEC (news - web sites)'s second-biggest producer Iran.
"A Bush victory will be big for oil demand and keep prices high," said Phil Flynn, an analyst at Alaron Trading in Chicago. "Not only will the SPR be filled, but I think they may expand it.
More... http://story.news.yahoo.com/news?tmpl=story&cid=580&e=1&u=/nm/20041103/bs_nm/markets_oil_dc
I predict it will go higher than record high at $55.67 in no time.
Crude dealers said Bush's victory over Democrat Senator John Kerry (news - web sites) could bolster U.S. fuel demand and underscore anxiety over the security of Middle East oil shipments.
U.S. light crude settled up $1.26 to $50.88 a barrel, climbing back over the psychological $50 mark after settling below it for the first time in a month on Election Day. Brent crude was up $1.01 to $47.56.
A second Bush administration will likely continue filling U.S. emergency oil stockpiles despite high prices and could stoke nerves about U.S. policy in the Middle East, particularly OPEC (news - web sites)'s second-biggest producer Iran.
"A Bush victory will be big for oil demand and keep prices high," said Phil Flynn, an analyst at Alaron Trading in Chicago. "Not only will the SPR be filled, but I think they may expand it.
More... http://story.news.yahoo.com/news?tmpl=story&cid=580&e=1&u=/nm/20041103/bs_nm/markets_oil_dc
I predict it will go higher than record high at $55.67 in no time.
