Crude Climbed A Dollar

Crude oil prices rose a dollar Tuesday to a seven-week high, as a cold weather came to the US north-east, stoking winter fuel demand.

US light sweet futures were up 82 cents to $49.20 a barrel on the New York Mercantile Exchange.
Meanwhile, IPE Brent crude futures jumped 95 cents to $45.98 a barrel in London.

Paul Horsnell, of Barclays Capital, said: "The fund money is short heating oil, which is enough to propel it back above $50."

New York heating oil futures were up 3 per cent at $1.3930 a gallon, their highest level in almost four weeks as the contract extended this year?s rally to more than 12 per cent.

The International Energy Agency said that OPEC producers will need to pump more oil than expected during the northern winter because of supply problems outside the cartel.

Analysts expected that US crude oil stockpiles would probably rose by 750,000 barrels in the week ending Jan. 14 from 288.8 million.