Oil rose slightly in the early trading today in a correctional movement after it declined in the past period, bolstered by the dollar that continues its weakening track today.
Crude oil futures for July settlement opened today at $100.16 a barrel recording the intraday high so far at $100,95 a barrel and the low of $100.04 a barrel and is currently trading around $100.82 with an increase of $0.59 or by 0.59% a barrel.
At the end of yesterday's trading crude closed on a rise of $1,09 or by 1.08% ending trading at $100.23 a barrel.
The weakness of the dollar is the main factor behind the slight increase in oil prices in the Asian trading. The USDIX fell from its highest levels in eight weeks to 75.00 for the fourth day in a row after recording the highest at 75.56.
The U.S. economy grew in the first quarter by 1.8% and below 2.2% expected, whereas today's data is expected to show the weakness in income and personal spending levels slowing further with spending expected the weakest in three months at 0.5%.
On the other hand, the G8-leaders comments had a positive effect on the movements in the markets, as they see the global recovery ongoing and gaining momentum which will offset the downside pressures of the European debt crisis.
The commodities markets have witnessed heavy volatility during recent times and that was influenced by many factors from debt concerns, weakening recovery, lower demand expectations, and in other times the strong dollar was the big weight on the market.
The attention in the first quarter of this year was focused on the supply side of oil fundamentals with the unrest sweeping across the oil rich Middle East and North Africa, which has seen revolutions and political turmoil. Nevertheless, the levels of demand are still fragile compared to pre-financial crisis levels.
As for Brent crude it rose today as well by $0.29 or by %0.25 to trade at $115.34 a barrel.