Sponsored by: Investment Center

Something new in your business?  Click here to submit your business press release

Chamber Corner | Main Street News | Job Hunt | Classifieds | Calendar | Illinois Lottery 

Oil slips on expectation of bigger US supplies

Send a link to a friend

[May 08, 2013]  NEW YORK (AP) -- The price of oil fell Tuesday on expectations of another increase in U.S. oil supplies.

Benchmark oil for June delivery fell 54 cents to finish at $95.62 per barrel.

The Energy Department releases its weekly report on U.S. oil inventories Wednesday. Addison Armstrong, senior director of market research at Tradition Energy, expects supplies rose by 2.8 million barrels in the week ended May 3. Analysts surveyed by Platts expect an increase of 1.9 million barrels.

Oil production in the U.S. is the highest in two decades, while demand for gasoline and other fuels remains subdued.

Last week the Energy Department said supplies rose by 6.7 million barrels, contributing to a more than 2 percent drop in the price of oil.

Meanwhile Saudi Arabia is apparently adding to ample global supplies. Reports say the Saudis continued to increase crude oil output in April, to around 9.3 million barrels a day. That weighed on oil prices Tuesday.

The added Saudi output "makes it more difficult to reduce the oversupply and allow the oil price to recover," said a report from Commerzbank in Frankfurt.

Brent crude, which is the benchmark for international oil varieties, fell $1.06 to end at $104.40 per barrel on the ICE Futures exchange in London.

[to top of second column]

In other energy futures trading on the Nymex:

  • Wholesale gasoline dropped 3 cents to finish at $2.83 a gallon.

  • Heating oil rose 1 cent to end at $2.93 a gallon.

  • Natural gas fell 9 cents to finish at $3.92 per 1,000 cubic feet.

[Associated Press]

Pablo Gorondi in Budapest and Pamela Sampson in Bangkok contributed to this report.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

< Recent articles

Back to top


 

News | Sports | Business | Rural Review | Teaching & Learning | Home and Family | Tourism | Obituaries

Community | Perspectives | Law & Courts | Leisure Time | Spiritual Life | Health & Fitness | Teen Scene
Calendar | Letters to the Editor