Sydney Morning Herald – THE plants in northern hemisphere gardens may be confused about the unseasonably warm weather, but spare a thought for anyone trying to make a living in the oil market. On thetrading floors, the losses are rising as quickly as the mercury.
Early-blooming roses face a nasty shock when winter arrives – but for the hedge funds betting on a bounce-back from last summer’s oil price slump, rising temperatures have already been a disaster.
Rumours are circulating that one or more funds have lost their shirt on the latest slide in the oil price, which has fallen 15 per cent so far this year.
On Friday, world oil prices climbed to nearly $US53 a barrel, recovering from 19-month lows. New York’s main oil futures contract, light sweet crude for delivery in February, gained $US1.11 to close at $US52.99 a barrel.
In London, the price of Brent North Sea crude for February delivery rose $US1.25 to settle at $US52.95 a barrel.
