Despite the adequacy of current global crude supplies and continued slow global economic recovery, crude prices, continued to rise throughout the past two weeks. Notwithstanding the lack of fundamentals, crude markets were influenced primarily over this period by the fluctuating value of U.S. currency.  As crude is denominated in U.S. currency, a lower dollar makes it cheaper for end users and investors alike. Rising crude prices in part resulted in higher refined product price trends. Additional factors have impacted refined pricing and in particular gasoline and diesel. The combination of reduced North American domestic production due to lower than normal demand, the increase in demand from Canadian wholesalers who are stocking up for the winter season ( accentuated this year by closure of Shell Quebec refinery), increased demand as of late from Europe due to the French port and refinery closures as a result of strike related actions and the resultant drop in inventory position as reported by the DOE have all contributed to a steady ascent in gasoline prices in recent days. Diesel prices have been similarly influenced by seasonal demand related to the fall U.S. Midwest harvesting activities coupled with increased demand from Europe and the Mediterranean due to the French strike action and South America due to the shortage of ethanol production in that region.

• According to a U.S. Department of Commerce report late last week, "private employers added 64,000 workers last month, short of the 75,000 expected. Overall, 95,0000 jobs were slashed as governments laid off temporary workers and the unemployment rate held steady at 9.6%".
• According to the Wall Street Journal last week, 'investors sprinted into dollar-denominated physical assets such as gold and oil after Japan cut interest rates to near zero as part of a monetary easing program. The dollar dropped sharply against the yen and tumbled to its lowest level against the euro since February.
   

According to the Associated Press, 'the price of oil will also be influenced by expectations that OPEC will hold production at current levels and indications from several of the group's oil ministers that they are comfortable with crude prices between $70 and $80 a barrel. The Organization of Petroleum Exporting Countries said the world economy continues to expand at below-average levels. OPEC is scheduled to meet Thursday in Vienna to discuss its official policy".