EU summit agreements to promote international oil prices jumped 9 percent

Xinhua News Agency, New York, 629, Ta Kung Pao (reporter Qiao Jihong) summit of EU leaders to resolve the debt crisis reached a groundbreaking agreement, which greatly boosted market confidence in international oil prices soared on the 29th, the New York oil prices soared more than 9%. after two days of talks, EU leaders reach a final decision, the member banks agreed to directly inject capital into a debt crisis, the euro zone permanent relief fund, and allow the use of temporary relief fund to buy Italy and the national debt of Spain and other countries, without additional new austerity or demands for reform to help those heavily indebted poor countries to reduce financing costs. Achieved a major breakthrough in long-term response measures, agreed to establish a unified system of banking supervision. market analysts believe that, to allow relief fund to directly inject capital into the banking sector and the purchase of government bonds will effectively break the “vicious cycle” of sovereign debt and banking crisis, and therefore has a very significant stabilizing effect on the market. In addition, very low expectations for the summit before the market had not expected to reach any agreement, So the summit result that the market is very pleasantly surprised to boost the role of natural But some analysts believe that this boost may be very short. at the same time, the euro against the dollar on that day rose about 2 percent, the best performance for the last eight since. The weak dollar boosting the oil price rally. Other analysts pointed out that the day of the surge in oil prices also showed that the market fears on Iran once again intensified. Recently, Iranian officials have repeatedly made the Strait of Hormuz, its radical rhetoric, and several times threatened to block the Strait. Strait of Hormuz in the Middle East offshore oil hub, once blocked, will greatly affect the global oil supply. In addition, the European Union on Iran’s oil export ban will take effect in 71 days, then will also lead to a substantial reduction in oil supply. to the close of the day of light sweet crude for delivery in the New York Mercantile Exchange rose $ 7.27 to close at $ 84.96 a barrel, or 9.36 percent, a single day since 20112 gains. 8 for delivery in the North Sea Brent crude rose $ 6.44 to close at $ 97.80 a barrel, or 7.05 percent.