Monday, March 23, 2009

So the Dow Jones Index is up... So what?

Oil climbs above $54 on stock market rally
Mar 23 01:53 PM US/Eastern
AP Energy Writer
HOUSTON (AP) - Oil prices topped $54 a barrel Monday, getting a boost from stock investors who seemed hopeful a new plan to resolve the nation's banking crisis would spur economic growth. Better-than-expected housing news helped too. br>
Benchmark crude for May delivery rose $1.73 to settle at $53.80 a barrel in trading on the New York Mercantile Exchange, continuing its upward momentum. Prices climbed as high as $54.05 earlier in the session.

On Friday, oil ended the week above $50 a barrel for the first time this year, and prices have risen 33 percent this month alone.

In London, Brent prices rose 2.23 to $53.45 on the ICE Futures exchange.

"Generally, we've had moderately good economic news of late," said Michael Lynch, president of Strategic Energy & Economic Research. "That's giving people some optimism that maybe demand will be picking up. If the (new banking) plan is effective, so much the better."

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