Oil prices fell about $1.80 to settle just above $73/bbl on the New York market on Oct. 10. Analysts partially attributed the drop to an anticipated rise in the weekly US oil inventory.
The US Energy Information Administration was scheduled to release its Weekly Petroleum Status Report on Oct. 11, a day later than normal due to the closure of the federal government for the Columbus Day holiday on Oct. 8.
The Wall Street Journal said its survey of analysts showed they expected the crude oil inventory to have climbed 1.5 million bbl for the week ended Oct. 5. Separately, the American Petroleum Institute said its own preliminary data showed a 9.7 million-bbl increase.
In its Short-Term Energy Outlook (STEO) released Oct. 10, EIA forecast US crude oil production will average 10.7 million b/d in 2018, up from 9.4 million b/d in 2017. EIA forecast 2019 US oil production will average 11.8 million b/d.
EIA said oil production averaged 11.1 million b/d in September, up slightly from August levels.
The STEO forecast Brent crude oil spot prices will average $74/bbl in 2018 and $75/bbl in 2019. The closing price for Brent’s December contact on Oct. 10 was about $83/bbl.
Energy prices
The light, sweet crude contract for November delivery on the New York Mercantile Exchange dropped $1.79 to $73.17/bbl on Oct. 10. The December contract dipped $1.78 to settle at $73.03/bbl.
The NYMEX natural gas price for November was up nearly 2¢ to a rounded $3.28/MMbtu.
Ultralow-sulfur diesel for November was down about 3¢ to a rounded $2.39/gal. The NYMEX reformulated gasoline blendstock for November decreased 6¢ to settle at a rounded $2.02/gal.
Brent crude oil for December decreased $1.91 to $83.09/bbl on London’s International Commodity Exchange. The January contract fell $1.89 to $82.65/bbl. The gas oil contract for November fell $4.50 on Oct. 10 to close at $739.25/tonne.
The Organization of Petroleum Exporting Countries’ basket of crudes for Oct. 10 averaged $82.60/bbl, down 57¢.
Contact Paula Dittrick at [email protected].
