MARKET WATCH: NYMEX oil prices jump more than $1/bbl

Light sweet crude oil prices settled more than $1/bbl higher Aug. 27 on the New York market, which analysts attributed to anticipation of a draw in US oil supplies. The oil price gain came after 4 consecutive days of price declines.

The US Energy Information Administration is scheduled to release its weekly oil and product inventory report on Aug. 28.

The Wall Street Journal reported a poll of 11 analysts and traders showed they expect US crude oil inventories to have fallen by 2.3 million bbl for the week ended Aug. 23.

In addition, oil prices were supported by a weakening US dollar in comparison to other currencies. Oil is traded in dollars, so a weaker dollar makes oil less expensive for buyers starting with other currencies.

Energy prices

Light, sweet crude oil on the New York Mercantile Exchange for September delivery increased $1.29 to $54.93/bbl on Aug. 27 while the October contract gained $1.27 to $54.77/bbl.

The NYMEX natural gas price for September declined nearly 3¢ to a rounded $2.20/MMbtu.

Ultralow-sulfur diesel for September increased slightly more than 2¢ to $1.82/gal. The NYMEX reformulated gasoline blendstock for September increased 3¢ to a rounded $1.65/gal.

Brent crude for October gained 81¢ to $58.51/bbl. The November contract added 81¢ to settle at $59.03/bbl.

Gas oil for September decreased $4.50 to $553.50/tonne on Aug. 27.

The average for the Organization of Petroleum Exporting Countries’ basket of crudes for Aug. 27 was $59.98/bbl, up 80¢.

Contact Paula Dittrick at pdittrick@endeavorb2b.com.