Crude oil rebounded by 1.89 per cent to Rs 2,211 per barrel at the futures market today as speculators widened their bets, taking positive cues from Asian markets.
At the Multi Commodity Exchange, crude oil for delivery in February rose Rs 51 or 1.89 per cent to Rs 2,211 per barrel in a business turnover of 9,392 lots.
Likewise, the oil for delivery in March was trading higher by Rs 38 or 1.66 per cent at Rs 2,328 per barrel in 500 lots.
Analysts said speculators widened their positions on the back of a rebound in Asia, buoyed by a weaker dollar, bargain buying and fresh speculation of a possible output cut by the OPEC producers’ group.
Traders brushed aside bearish data showing another increase in US commercial crude inventories, but analysts said any rally in a market awash with barrels of oil is bound to be short-lived.
Meanwhile, West Texas Intermediate for March delivery gained 36 cents or 1.12 per cent to $32.64, while Brent crude for April delivery rose 29 cents or 0.83 per cent to $35.33.
Both contracts closed higher yesterday.