The price of oil traded at its highest value in more than two years in New York as indications show the recovery from the economic recession is becoming stronger, Bloomberg reports.
Futures for the commodity increased to their top level of $92.58 per barrel in New York on Monday following the U.S. factory index for the Institute for Supply Management notching its strongest amount in seven months.
"The actual situation remains quite bullish after some supportive figures on the U.S. economy," Hannes Loacker, an analyst at Raiffeisen Bank International AG in Vienna, told Bloomberg.
In December, the factory index reached 57, a 0.4 point increase from the month prior. Prices for crude oil have increased while supplies at stockpiles decrease, which indicates demand for the commodity is on the rise. Rising demand indicates more construction projects and similar-type work that typically consumes oil.
"But for the next couple of weeks it will be hard for crude to move substantially higher as fears about Chinese growth exert some drag, and the euro debt crisis will be back on the table," Loacker said.
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