U.S. Energy Secretary says oil prices rising on economy

WASHINGTON (Reuters) – Energy Secretary Steven Chu said on Tuesday that oil prices may be rising in anticipation of an eventual economic recovery.

“That might be part of the driver. The economy is in very bad shape today, but there is a feeling … that it’s no longer (in) free fall,” Chu told reporters following a hearing before the Senate Appropriations Subcommittee on Energy and Water Development.

“One thing is for certain: when the economy picks up, just based on supply and demand, the price will go up,” Chu added.

Reuters