Brent oil price nears $95, crude market looks bullish

Brent oil prices remain firm over the $94 mark in light trading today as investors and analysts predict that the crude oil market looks bullish and prices may soon trade through $100 a barrel.

Latest Brent Oil Price

In London, Brent crude oil futures for February 2011 delivery was trading at $94.54, 05.44 GMT on the ICE Futures Exchange.

Low trading volume on the last day before Christmas may have exaggerated gains, but few expected to see a correction as traders looked forward to a fresh infusion of institutional investment in the booming commodities sector.

Oil Prices Likely to Move Higher

“It’s fair to say it that oil prices are about right, but still I think that it needs to improve a little bit more. About $100 would be a fair price for the time being.” said Libya’s National Oil Corp Chairman Shokri Ghanem.

“I don’t think we’ll pull back much before February. We’ll see some fund allocations next month so we should continue to see support.” said Antoine Halff of Newedge Group in New York.

Brent oil prices will return to $100 for the first time in two years during 2011 amid rising global demand, according to strategists at Goldman Sachs, Morgan Stanley, JPMorgan Chase and Bank of America Merrill Lynch.