Market watch, Oct. 12

Energy futures prices continued to climb Wednesday on the New York Mercantile Exchange in response to a report Tuesday by the American Petroleum Institute that US inventories of oil and distillates declined last week.


Energy futures prices continued to climb Wednesday on the New York Mercantile Exchange in response to a report Tuesday by the American Petroleum Institute that US inventories of oil and distillates declined last week.

The November contract for home heating oil jumped by 2.07� to $1.0178/gal on the NYMEX, while natural gas for the same month surged by 37.4� to $5.51/Mcf.

Unleaded gasoline for November also gained 0.99� to 92.4�/gal.

The November contract for the benchmark US light, sweet crude advanced by 7� to $33.25/bbl on the NYMEX, while the December contract gained 17� to $33.24/bbl.

Many analysts indicated that the report of declining inventories would contribute to a further increase in energy prices. But both oil contracts registered sharper declines in after-hours electronic trading Wednesday to $33.05/bbl and $33.01/bbl, respectively.

Trading was mixed on the International Petroleum Exchange in London, where the November contract for North Sea Brent crude closed at $31.79/bbl, down 6� for the day. However, the contract for December delivery of Brent crude gained 4� to $32.17/bbl.

Also on the IPE, natural gas closed at the equivalent of $3.96/Mcf, down 7.6�.

On the Singapore exchange, North Sea Brent fell 6� to $31.79/bbl for November delivery. The December position inched up by 4� to $32.17. The average price for the Organization of Petroleum Exporting Countries' basket of seven crudes was unchanged at $30.54/bbl.

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