U.S. Crude Rises, Gasoline Falls as Refineries Restart

U.S. oil prices rose on Tuesday and gasoline fell as the gradual restart of refineries in the Gulf of Mexico that were shut by Hurricane Harvey raised demand for crude and eased fears of a fuel supply crunch.

Gasoline futures RBc1 dropped 4 percent from their last close, to $1.68 per gallon, down from $2.17 on Aug. 31 and back to levels last seen before Harvey hit the U.S. Gulf Coast and its large refining industry.

U.S. West Texas Intermediate crude futures Clc1 rose more than 1 percent to $47.84 per barrel by 1008 GMT, up 55 cents from their last settlement.

“Gasoline fell as refineries in Texas began to reopen,” said William O‘Loughlin, investment analyst at Rivkin Securities.

Texas was edging towards recovery from the devastation of Harvey as shipping channels, oil pipelines and refineries restarted some operations.

Eight U.S. oil refineries with 2.1 million barrels per day of refining capacity, or 11.4 percent of the U.S. total, were shut as of Monday afternoon, the Department of Energy said.

Harvey hit the Texan coast late on Aug. 25 and at its peak knocked out almost a quarter of all U.S. refining capacity.

In international markets, Brent crude futures LCOc1 edged higher by 0.3 percent to $52.49 a barrel amid signals the Organization of the Petroleum Exporting Countries could extend its output limits beyond the first quarter of 2018.

read more/source: https://uk.reuters.com/article/uk-global-oil/u-s-crude-rises-gasoline-falls-as-refineries-restart-idUKKCN1BG01R

Related Posts

ATA Truck Tonnage Index Decreased 3.5% in January

American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index decreased 3.5% in January after increasing 1.2% in December. In January, the index equaled 111.0 (2015=100) compared with 115.0 in December. ATA recently revised the seasonally adjusted index back five years as part of its annual revision. “January’s data was a snap back to reality for anyone thinking the freight market was about to turn the corner,” said ATA Chief Economist Bob Costello. “Bad winter weather in January likely hurt volumes, not to mention sharp drops in a number of drivers of tonnage including retail sales, housing starts and manufacturing output.” December’s increase was revised down from our January 23 press release. Compared with January 2023, the SA index fell 4.7%, which was the eleventh straight year-over-year decrease. In December, the index was down 0.8% from a year earlier.

Brent Oil Holds Near 2-Year High as Saudi Prince Backs OPEC Cuts

Futures were little changed near $60 a barrel in London, up 2.6 percent for the week. The prince said Thursday that “of course” he wanted to prolong the curbs beyond the end of March 2018. OPEC is considering an exit strategy to avoid flooding the market once the agreement finally expires, people familiar with the talks said this week. Total SA’s Chief Executive Officer Patrick Pouyanne said the imbalance between crude supply and demand is finally dissipating. Brent has gained as speculation mounts the Organization of Petroleum Exporting Countries will agree at its Nov. 30 meeting to extend cuts by its members and allied nations aimed at draining a global glut. Click Read More below for additional information.

Key Currency Exchange Rates for Friday, 11/03/17

American Dollar to Canadian Dollar = 0.779492; American Dollar to Chinese Yuan = 0.150886; American Dollar to Euro = 1.164568; American Dollar to Japanese Yen = 0.008766; American Dollar to Mexican Peso = 0.052415.
Back To Top
×Close search
Search