Oil futures have soared on the commodities markets today (September 14th) following the US Federal Reserve's (Fed) announcement it will be launching a third round of bond purchases to revive the economy.
Yesterday, chairman of the central bank Ben Bernanke stated the institution would be injecting $40 billion (£25 billion) a month into the nation's financial pipelines.
The plan to buy US mortgage debt will be ongoing until further notice, according to the Fed, while the central bank has also kept interest rates at below 0.25 per cent – an historic low.
This open-ended plan means the stimulus measures will continue until the country's economy shows signs of recovery.
Historically, the dollar depreciates when bond-purchases are implemented by the Fed, therefore investors tend to find a haven in dollar-denominated oil.
At 16:35 BST, Brent Crude Oil Futures rose one per cent to $117 per barrel.
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