Fed QE plans push oil prices to near 4-month highs

<p>The Federal Reserve’s plans for more asset purchases have pushed oil values to near four-month highs.</p>

Dollar-denominated oil has appreciated to near four-month highs thanks to last week's quantitative easing (QE) announcement.

The Federal Reserve stated it would be embarking upon a third round of open-ended asset purchases, pumping $40 billion (£25 billion) into the world's largest economy every month.

This helped push the value of Brent Crude Oil Futures to highs of $116.92 per barrel on Friday (September 14th), with the commodity opening stable this morning.

West Texas Intermediate Crude Oil Futures were also steady at 08:00 BST, stuff remaining firm at $99.02 per barrel.

QE historically has a dampening affect on the US currency and therefore dollar-denominated commodities such as oil and gold tend to do well when asset purchases are announced.

However, some analysts have warned that higher crude prices could pull some counties further or back into recession, as already-struggling manufacturing sectors may not be able to grow with the added expense.

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