From Deseret News archives:
Oil gyrates on mixed inventory report
Retail gas prices slipped slightly for a second day, a sign that falling demand may be affecting prices and that prices at the pump may have caught up to crude oil's latest record advance.
Oil prices rose sharply in late afternoon trading on reports that talks between white-collar Nigerian oil industry workers and Chevron had broken down. Nigeria is Africa's largest oil producer and a major U.S. supplier.
The news out of Nigeria overshadowed a mixed weekly inventory report from the Energy Department's Energy Information Administration. Gasoline supplies fell 1.2 million barrels last week, where analysts surveyed by energy research firm Platts were expecting an increase of nearly 1 million barrels. However, the EIA also said demand for gasoline is down 1.8 percent, on average, over the last four weeks compared to last year.
Crude oil supplies fell 1.2 million barrels last week, less than the 2 million barrel decline expected by analysts, and inventories of distillates, which include heating oil and diesel fuel, rose 2.6 million barrels more than expected.
"Obviously, we're worried about supply, so any kind of headline is going to send prices back up," said Phil Flynn, analyst at Alaron Trading Corp. in Chicago.
Also boosting prices, the dollar reversed earlier gains and lost ground against the euro Wednesday afternoon. Investors buy commodities such as oil as a hedge against inflation when the dollar falls. Also, a weaker dollar makes oil less expensive to investors overseas.
In a separate report Wednesday, the American Petroleum Institute, a trade group, said gasoline demand fell 1.4 percent in May, as measured by deliveries, dragging year-to-date demand for gasoline down by 1 percent. That's the first decline in gasoline demand over the first five months of any year since 1991, API said.
Demand for crude oil over the first five months of the year was off 2.5 percent from last year, API said.
Comments
- Transactions 6:39 p.m.
- Chargers rout Broncos, 32-3 6:34 p.m.
- Patriots defense stifles Jets 6:31 p.m.
- Find my family exploits 6:20 p.m.
- Will Oprah Winfrey fade away? 6:20 p.m.
- Architect is valuable when bidding 6:20 p.m.
- BYU stadium example of grass care 6:20 p.m.
- Lightning edge Thrashers in OT 6:19 p.m.
- Moment of thanks at gas station 6:19 p.m.
- 'Scroogenomics': Cut back Christmas 6:19 p.m.
- Glenn Beck to enter politics?
- BYU records with win
- Jazz outlast Pistons in overtime
- Cougars turn focus to dreaded rivals
- Cougars put the fun back in football
- Kirilenko heating up for the Jazz
- Former BYU professor remembered
- Wendover airfield's legacy lost?
- Police link alcohol to murder
- Utah Utes whip SDSU
- Buttars wants to limit gay rights laws
201 - Glenn Beck to enter politics?
180 - Palin plans tour stop in Utah
178 - BYU records with win
127 - Palin's book shows she's unqualified
125 - Officer cleared in Cardall Taser case
103 - BYU cuts Women's Research Inst.
100 - Jazz finally win in San Antonio
98 - Utes knock off rival Aggies
93 - Huntsman pleased with Obama
87
There's a lot of reason to leave your plastic home as you shop:
I don't pretend to be an expert on global warming. I've met with...
Utah 38 BYU 24 Once again Max Hall folds under pressure and throws 3...
Harvey Unga is the "real deal" and will do well in the NFL.
People, it is early in the season. And it is not the first time Stew and his...
@Mike Richards you left out a couple examples when secular people reject...
marriage is a civil matter. therefore there should be no laws regulating it...
it seems the divide is a wide as it was between the south and north back in...
will be decided by Byu's Rudy Defensive Backs. I'm betting that David Reed...
it would be awsome to watch !! a match made in in EGO-HEAVEN
I am a BYU fan so I am not exactly complaining, but can someone tell me why...
The purpose of religious law is to get us back to God. The purpose of...


You can be the first to comment on this story.