What's Moving the Oil Markets?

 •Global crude futures were little changed in European mid-morning trading after starting the week strong--supported by underlying geopolitical concerns and heating oil demand--but then retreating slightly as European players began trading.

•European market players woke to news that Iran, OPEC's 2nd-largest producer, Sunday warned Western countries that passing a new UN sanctions resolution over its alleged nuclear weapons program would be "costly" for the West.

•March ICE gasoil futures touched a fresh high of $901.25/mt on the back of solid demand in Asia and supply tightness in Europe, while a cold snap in the US forced NYMEX heating oil to record levels once again. The gasoil market in Singapore has been rallying since the beginning of the month amid robust demand from countries such as India, Indonesia and the Middle East as well as reduced output of the product in North Asia and Europe due to refinery run cuts and maintenance.

Updated: February 25, 2008