MARKET WATCH: NYMEX natural gas prices climb nearly 10¢

Light, sweet crude oil prices on the New York market gained more than 50¢ to approach $58.60/bbl by the end of daily trading after a weekly government report showed US crude oil inventories fell sharply.

Light, sweet crude oil prices on the New York market gained more than 50¢ to approach $58.60/bbl by the end of daily trading after a weekly government report showed US crude oil inventories fell sharply.

Meanwhile, US natural gas for September delivery climbed nearly 10¢ to settle at $2.23/MMbtu on July 31 after dipping to their lowest level in more than 3 years on July 29.

The US Energy Information Administration said crude oil supplies, excluding the Strategic Petroleum Reserve, dropped by 8.5 million bbl to 436.5 million bbl for the week ended July 26 (OGJ Online July 31, 2019).

Current oil supplies are at the 5-year average for this time of year, the EIA said. Total motor gasoline inventories decreased by 1.8 million bbl.

Meanwhile, the US Federal Reserve cut interest rates for the first time in more than 10 years, indicating its willingness to provide more economic support.

The Fed cut its key benchmark interest rate by a quarter of a percentage point to a range of 2-2.25%.

Energy prices

Light, sweet crude oil on the New York Mercantile Exchange for September delivery gained 51¢ to settle at $58.58/bbl on July 31 while the October contract increased 52¢ to $58.63/bbl.

Ultralow-sulfur diesel for August gained 1¢ to $1.95/gal. The NYMEX reformulated gasoline blendstock for August gained less than 1¢ to a $1.90/gal.

Brent crude for September held unchanged at $64.72/bbl. The October contract also gained 42¢ to settle at $65.05/bbl.

Gas oil for August climbed $9.50 to $601.75/tonne on July 31.

The average for OPEC’s basket of crudes was $65.53/bbl on July 31, up 91¢.

Contact Paula Dittrick at pdittrick@endeavorb2b.com.

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