Ken Hasegawa News

Brent crude dropped to a 16-month low under $99 per barrel on Wednesday, stretching its losses into a fifth session amid continued worries about rising supplies and weak global demand. While a larger-than-expected fall in weekly U.S. crude stocks kept a floor under oil prices, gains were curbed by a firmer U.S. dollar that makes commodities priced in the greenback more expensive for holders of other currencies. The dollar index stood near a 14-month high, with some investors betting the U.S. Federal Reserve would raise interest rates earlier than previously thought. Brent crude was trading down 27 cents at $98.89 a barrel at 0719 GMT, off a low of $98.85 hit earlier in the session - the lowest intraday price since May 1, 2013. U.S. crude was down 21 cents at $92.54 a barrel.

Brent crude fell towards $102 a barrel on Tuesday on concerns of slowing oil demand growth due to weak economic recoveries in China and Europe, although new unrest in OPEC oil producer Libya kept losses in check. Euro zone manufacturing growth slowed slightly more than initially thought in August, while growth in China's factory sector slipped to a three-month low last month, adding to concerns about oil demand. Brent prices have trended higher since mid-August as speculators have come back into the market following a drop of nearly $15 to around $101 a barrel over the previous two months. "Still, the economic recovery in Europe and especially in China is not strong, and we've seen no supply shortages in Iraq," said Ken Hasegawa, a commodity sales manager at Newedge Japan.

Brent crude held near $115 a barrel on Friday, close to a nine-month high, and was headed for its second weekly gain on increased risks of disruption to supply from Iraq. Iraqi government forces battled Sunni militants for control of the country's biggest refinery on Thursday. If the 300,000 barrels per day refinery stays closed, Baghdad will need to import more oil products to meet its own domestic consumption, further tightening oil markets. Fields south of Baghdad, where most of Iraq's 3.3 million barrels per day (bpd) of oil is produced, as well as exports remain unaffected. But heavy fighting north of the capital and foreign oil firms beginning to pull out staff pose a risk to supplies from OPEC's number two producer.

Brent crude climbed to a nine-month high near $115 a barrel on Friday, as supply disruption fears took centre stage after the United States threatened military action in Iraq against Sunni Islamist militants who are pushing on towards Baghdad. The jihadists extended their lightning advance to towns only about an hour's drive from Baghdad while trucks carrying Shi'ite volunteers in uniform rumbled towards the front lines to defend the city, stoking concerns of prolonged unrest and bloodbath. Brent hit a session high of $114.69 a barrel, its loftiest since September last year. It was up $1.57 to $114.59 by 0754 GMT. It ended up with gains of more than $3 on Thursday. U.S.

Brent crude rose back above $110 a barrel on Thursday on signs of stronger demand from top oil consumer the United States, with a sharp drop in its gasoline stocks adding to recent data showing a strengthening economy. The brighter demand outlook underpinned prices already boosted by concerns about the loss of most supply from Libya and a widening rift between the West and Russia, the world's second largest oil exporter, over Ukraine. Still, some investors looking at price charts saw the market as prone to a correction as it has risen close to the top of the narrow price band it has traded in for much of this year. Brent crude traded up 23 cents at $110.04 a barrel by 0759 GMT, after losing 21 cents on Wednesday. U.S.

Brent futures eased towards $107 a barrel on Friday as the global supply outlook improved with more Libyan supplies expected to reach the market, although growing tension between the West and Russia over Ukraine put a floor under prices. Oil prices also came under pressure as producer-group OPEC said it sees lower demand for its oil this year, highlighting concerns over the economy and competition from rival producers, just as data from China showed imports fell to a five-month low. Earlier in the week, United States said oil inventories rose on the back of a local production boom. Brent crude fell 16 cents to $107.30 a barrel by 0340 GMT, after settling 52 cents lower. The contract is set to end the week 0.5 percent higher, recouping part of the previous week's losses. U.S.