WTI Crude Rises to Highest Level of 2014 on Growth Signs

West Texas Intermediate crude rose to the highest level of 2014 after data showed that increased consumer spending boosted the U.S. economy.

Prices advanced 0.9 percent. Gross domestic product of the world’s biggest oil-consuming country grew at a 3.2 percent annualized pace in the fourth quarter, the Commerce Department said. WTI also gained as cold weather pushed heating oil futures to an 11-month high with demand for distillate fuel at the highest level in almost six years. <read more>

Global Crude Oil Prices

Brent crude oil spot prices averaged between $108/bbl and $112/bbl for the sixth consecutive month in December 2013 at $111/bbl. EIA expects the Brent crude oil price to weaken as non-OPEC supply growth exceeds growth in world consumption. The Brent crude oil price is projected to average $105/bbl and $102/bbl in 2014 and 2015, respectively.

The forecast WTI crude oil spot price, which fell from an average of $106/bbl during September to $94/bbl in November, increased to $98/bbl in December as a result of strong U.S. refinery runs. EIA expects that WTI crude oil prices will average $93/bbl in 2014 and $90/bbl during 2015. The discount of WTI crude oil to Brent crude oil, which averaged $18/bbl in 2012 and then fell to below $4/bbl in July 2013, averaged $12/bbl during the fourth quarter of 2013. <read more>

4 reasons why environmentalists are wrong about energy

Screen Shot 2014-02-06 at 12.16.32 AMAmerica’s oil and gas boom has the potential to jump-start the economy by lowering consumers’ energy costs and attracting energy-intensive manufacturing in search of low-cost energy. The oil boom has come about despite, not because of, government policies.

Here are four energy wishes for 2014, and four rebuttals to those who want America to focus on green energy. <read more>

Goldman to Oil Market: U.S. is New China

The oil market is on the cusp of a new cycle, Goldman Sachs (GS) said on Friday, with demand in the United States growing at a faster pace than in emerging economies such as China and India for the first time in a decade.

That’s likely to have profound implications for how oil markets operate, Jeffrey Currie, Goldman’s influential chief commodity analyst wrote in a note, which says there will be a “new oil order”.

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