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| Analysis | Crude oil climbed on Thursday trading after the better-than-expected U.S. expansion and approval of German vote. Oil for November delivery is currently trading around $83.10 a barrel after recording a high of $83.95 and a low of $79.63. Both slowdown in U.S. growth and the escalating debt crisis were the main reasons behind the recent drop in oil prices. Thus, with the progress in both issues, oil climbed today after the improvement in the sentiment. Data from the U.S. showed an upward revision to 2Q GDP to 1.3% from the second reading of 1.2%. In addition, initial jobless claims slipped to 391,000 last week from 428,000 a week before. On the other hand, Germany approved the expansion of the European Financial Stability Facility (EFSF) with an overwhelming majority. This expansion would, supposedly, buy bonds from Greece and other highly indebted nations and protect European banks against any mutual financial crisis, which actually delivers a message that this vote would be able to secure a second bailout for Greece and can be regarded as a first step towards lunching further measures to contain the debt crisis. Crude prices offset most of yesterday's decline when prices fell after the release of the EIA report which showed that U.S commercial crude oil inventories increased by 1.9 million barrels from the previous week. In the FOREX market, the dollar was negatively affected by the hopes in markets which encouraged investors to leave refuges. The dollar index, which tracks the dollar movements versus a basket of major currencies, edged down to a low of 77.41 compared with the day's opening level of 78.03.
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