Brent
rose for the first time in three days as a vote in Ukraine stoked concern that
oil supplies from Russia, the world’s biggest energy exporter, may be curbed.
West Texas Intermediate increased after hedge funds cut wagers.
Futures
rose as much as 0.8 percent in London. Pro-Russian groups hailed a large
majority that voted for secession in balloting in eastern Ukraine dismissed as
illegitimate by the government in Kiev and its U.S. and European allies. The
global oil market is sufficiently supplied and demand is “great,” according to
Saudi Arabia’s Petroleum Minister Ali Al-Naimi.
“There
is still a lit fuse in Ukraine,” Michael Poulsen, an analyst at Global Risk
Management Ltd. in Middelfart, Denmark, said by e-mail. “The weekend’s
unofficial referendum means that the geopolitical tensions will still be around
when considering the longer term.”
Brent
for June settlement climbed as much as 88 cents to $108.77 a barrel on the
London-based ICE Futures Europe exchange and was at $108.55 at 1:35 p.m. London
time. The contract slid 15 cents to $107.89 on May 9, capping a second weekly
decline. The volume of all futures traded was about 2 percent below the 100-day
average for the time of day.
WTI for
June delivery rose 0.3 percent to $100.29 a barrel in electronic trading on the
New York Mercantile Exchange. The U.S. benchmark crude was at a discount of
$8.28 to Brent on ICE. The spread widened for a second day on May 9 to close at
$7.90.

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