TEHRAN (FNA)- Oil prices rose to above $42 a barrel in Asian markets as fears calm over energy demand due to the uncertain global economy.
On Wednesday, New York's light sweet crude for delivery in March increased 67 cents to US $42.25 a barrel; Brent North Sea crude for March delivery climbed 45 cents to $44.18 a barrel.
The jump came as Asian traders felt optimistic about a weekly report concerning the US Department of Energy's stockpiles to be released Wednesday.
According to press tv, oil prices had sunk 9 percent on Tuesday in reaction to signs indicating that the United States is still deeply stalled in recession.
Oil prices have plunged by some 70 percent since reaching a record high of over $147 in July 2008, as economies around the world shrink in response to the global credit crunch.
Kuwait announced it position on Tuesday, saying that any further oil production cut should be linked to the global economic downturn and aimed at achieving stability in the market.
"The issue whether a production cut is called for at this stage is something that has to be viewed within the macroeconomic environment of the global economy," said acting oil minister Sheikh Mohammad al-Sabah.
"The primary concern is the stability of the market. If that requires a production cut, then so be it," Sheikh Mohammad told reporters, adding that he would equally favor a production increase if it would achieve stability.