Crude oil benchmarks ended slightly lower on New York and London markets on Oct. 8 while US natural gas future prices also declined after having recently snapped the longest losing streak since at least 1990.
Dow Jones Market Data reported the front-month gas futures contract fell for 12 consecutive trading sessions through Oct. 2. Prices are down 30% from their levels for the same period in 2018. The November natural gas price declined by 1.5¢ on Oct. 8 to settle at a rounded $2.29/MMbtu.
Analysts with Tudor, Pickering, Holt & Co., an energy investment bank, recently said US gas futures might fall under $2/MMbtu before prices hit a floor.
Oil investors are hoping for a resolution in the ongoing US-China trade dispute, which threatens world oil demand.
US and Chinese officials meet in Washington, DC, on Oct. 10-11 for trade talks. US President Donald Trump said his administration had a “very good chance” of achieving an agreement. Chinese officials have been more cautious about resolution of what they call some difficult issues.
Energy prices
Light, sweet crude oil prices on the New York Mercantile Exchange for November fell 12¢ to $52.57/bbl on Oct. 8 while the December contract dropped 9¢ to $52.58/bbl.
Ultralow-sulfur diesel for November gained less than 1¢ to $1.91/gal. The NYMEX reformulated gasoline blendstock for November gained 1¢ to $1.58/gal.
Brent crude for December fell 11¢ to $58.24/bbl. The January contract was down 6¢ to settle at $57.76/bbl.
Gas oil for October dropped $10 to $578.75/tonne on Oct. 8. The Organization of Petroleum Exporting Countries’ basket of crudes on Oct. 8 averaged $58.53/bbl, down 56¢.
Contact Paula Dittrick at [email protected].
