Oil higher on hopes of stronger demand, Greek deal

SINGAPORE: Crude prices were higher in Asian trade Wednesday as traders reacted to a forecast that global oil demand is set to grow and hopes of a Greek debt deal, analysts said.

New York's main contract, West Texas Intermediate (WTI) light sweet crude for delivery in March, gained 43 cents to $98.84 a barrel and Brent North Sea crude for March delivery was up one cent to $116.24 in morning trade.

"Crude prices have made gains with the EIA forecast of a growth in oil consumption and hopes of a solution to Greek debt trouble," said Nick Trevethan, senior commodities strategist at ANZ Research.

"Brent crude however is being capped at the $116.50 range," he told.

In a report released Tuesday, the United States Energy Information Administration forecast that worldwide fuel demand is set to accelerate over the next two years. (AFP)