Oil prices hover around $45

Associated Press

Singapore, January 10:

Crude prices inched upward today amid traders’ worries that OPEC producers may cut output again later this month. Prices for crude rose to $45.68 a barrel in electronic trading afternoon in Asia. Heating oil prices also rose slightly to $1.2900.

Crude prices should hover within the $45 range until OPEC’s meeting at the end of this month, said Esa Ramasamy, oil editorial manager of energy reporting agency Platts.

“Investors are getting skittish,” Ramasamy said.

OPEC members reduced production by one million barrels a day from the start of 2005 to bring the cartel closer to its official output ceiling of 27 million barrels.

Oil ministers from the organisation then said that they were ready to reduce production again if needed when they meet at their Vienna headquarters on January 30.