MARKET WATCH: NYMEX crude price drops, Brent price gains

Dec. 19, 2017
Oil prices fell on the New York market Dec. 18 but rose modestly in London. Analysts attributed the light, sweet crude price drop to news that a planned oil workers strike in Nigeria was called off.

Oil prices fell on the New York market Dec. 18 but rose modestly in London. Analysts attributed the light, sweet crude price drop to news that a planned oil workers strike in Nigeria was called off.

US light, sweet crude for January delivery had reached a trading session high of $57.69/bbl but fell to settle under $57.20/bbl.

Meanwhile, analysts said Brent crude was supported by a news report that Russia’s Rosneft was considering production-cut targets beyond 2018.

Reuters reported Pavel Fedorov, Rosneft’s first vice-president, said the Organization of Petroleum Exporting Countries-led agreement to curb crude output “could be extended” beyond December 2018.

On Nov. 30 OPEC and 10 producers outside the cartel, including Russia, extended a previous agreement outlining production-cut targets of 1.8 million b/d of crude production through yearend 2018.

Energy prices

The January 2018 light, sweet crude contract on the New York Mercantile Exchange fell 14¢ on Dec. 18 to $57.16/bbl. The February contract decreased 11¢ to $57.22/bbl.

The NYMEX natural gas price for January 2018 gained 13¢ to a rounded $2.74/MMbtu. Meanwhile, the Henry Hub cash gas price was up 9¢ at $2.71/MMbtu.

Ultralow-sulfur diesel for January 2018 jumped 2¢ to $1.92/gal. The NYMEX reformulated gasoline blendstock for January 2018 rose nearly 2¢ to a rounded $1.67/gal.

The Brent crude contract for February 2018 on London’s ICE climbed 18¢ to $63.41/bbl. The March 2018 contract gained 26¢ to $62.91/bbl.

The gas oil contract for January was $569/tonne, up $5.

OPEC’s basket of crudes was $61.64/bbl on Dec. 18, up 16¢.

Contact Paula Dittrick at [email protected].