MARKET WATCH: Oil benchmarks down ahead of inventory report

Oil benchmarks on the New York and London markets settled slightly lower Oct. 29, which analysts attributed to continuing uncertainty about supply and demand.

West Texas Intermediate crude traded close to its 5-month average of $55.50/bbl ahead of the US Energy Information Administration’s Weekly Petroleum Status Report. “The range-bound behavior these past few months highlights the uncertainty in a market where slowing demand growth is being offset by the potential for additional production cuts from the OPEC+ group of producers,” said Ole Hansen, head of commodity strategy at Saxo Bank.

The light, sweet crude contract for December on the New York Mercantile Exchange fell 27¢ to $55.54/bbl on Oct. 29. The January contract decreased 22¢ to settle at $55.68/bbl.

The NYMEX natural gas price for November rose 15¢ to a rounded $2.60/MMbtu. The December contract was up 8¢ to a rounded $2.64/MMbtu.

Ultralow-sulfur diesel for November fell less than a penny to remain at a rounded $1.96/gal. The NYMEX reformulated gasoline blendstock for November gained just over 1¢ to a rounded $1.69/gal.

Brent crude oil for December increased 2¢ to $61.59/bbl on London’s International Commodity Exchange. The January contract fell 2¢ to $61.23/bbl. The gas oil contract for November was $591.25/tonne on Oct. 29, down 50¢.

The Organization of Petroleum Exporting Countries’ basket of crudes for Oct. 29 was $61.44/bbl, down 21¢.