Wednesday, December 23, 2015

Commodity news: Crude oil boost expectations of traders 23 Dec, 2015

The sharp drop in prices over present year may increase profitability for these companies, which use crude oil derivatives as raw material or fuel, accounting for 20-40 % of their producing costs.

Crude oil prices have declined more than 40 per-cent so far in the year 2015 and near 15 per-cent in previous one month alone, possibly lending credence to consensus estimations of an earnings growth recovery, said by experts.

The drop in prices of oil has been positive for the consumer sector since crude derivatives are important inputs.

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