International Oil Prices Closed up US$0.53 to US$76.54/Barrel

Affected by news such as the U.S. stock market and strong quarterly reports from some companies, market investors believed that there were clear signs of accelerating global economic recovery. Crude oil prices rose on Monday. However, U.S. stocks fluctuated subsequently, and the increase narrowed slightly to $76.54 per barrel at the close.

The main crude oil for August on the New York Mercantile Exchange closed at $76.54 a barrel on Monday, up 53 cents, or 0.7%. It had reached a price of $77.73 during the session that day. On Friday, the contract fell 61 cents to close at $76.01 a barrel, with a weekly decline of 1%.

Patricia Mohr, commodity futures market analyst at Scotiabank Group, pointed out, “Crude oil prices have still closely followed the stock market trend recently, and the stock market is obviously the best barometer reflecting U.S. corporate earnings and market sentiment. .”

A number of U.S. stock companies released earnings reports on Monday, all exceeding the market's lowest expectations. Including oilfield services provider Halliburton Company (HAL) reported an 83% increase in second-quarter profits, and earnings per share also exceeded market expectations. However, the company also admitted that the ban on deepwater drilling due to the accident in the Gulf of Mexico may have a significant impact on the company's full-year earnings in 2010; and according to Halliburton's contract with British Petroleum (BP), it may be necessary to respond to the oil spill in the Gulf of Mexico. Provides partial compensation for accidents.

On the same day, Hasbro (HAS) and Delta Air Lines (DAL) also reported earnings that exceeded expectations, but Hasbro's sales were slightly lower than expected. A large number of companies will announce their second-quarter financial reports this week, including IBM's financial report, which will be released after the U.S. stock market closes on Monday.

Peter Buchanan, senior economist at CIBC Global Markets, believes, “I think market participants will be more confident about the economic outlook this week than last week. This is obviously helpful for crude oil price trends. "

However, after early trading on Monday, the July housing market index released by the National Association of Home Builders and Wells Fargo fell to 14 points, and the June index was revised downward to 16 points at the same time. U.S. stocks fell briefly and limited further gains in crude oil prices. This is also the first data this week that points to negative news for the U.S. economy.

In terms of other commodity futures, the main August natural gas contract fell 1 cent to US$4.51 per million British thermal units, with the highest price of the day being US$4.55.

As of the close of the oil market, the S&P 500 index rose 0.6% to 1,072 points; the Dow Jones Industrial Average rose 62 points to 10,159 points.