Market watch: Oil futures prices hit 2-year low on NYMEX

Oil futures prices tumbled to the lowest level in more than 2 years in a still bearish market Friday. The December contract for benchmark US light, sweet crudes dropped 21¢ to $20.18/bbl on the New York Mercantile Exchange, the lowest level since July 1999.

Nov. 5, 2001

By the OGJ Online Staff

HOUSTON, Nov. 5 -- Oil futures prices tumbled to the lowest level in more than 2 years in a still bearish market Friday.

The December contract for benchmark US light, sweet crudes dropped 21¢ to $20.18/bbl on the New York Mercantile Exchange, the lowest level since July 1999. The January contract also lost 18¢ to $20.40/bbl.

Analysts cited doubts that the Organization of Petroleum Exporting Countries later this month will be able to reduce production enough to buoy up oil prices in a sagging world economy.

Home heating oil for December delivery fell 0.61¢ to 58.26¢/gal on the NYMEX, but unleaded gasoline for the same month gained 0.27¢ to 54.4¢/gal. The December natural gas contract dipped by 4.2¢ to $3.25/Mcf.

In London, the December position for North Sea Brent crude gained 15¢ to $19.77/bbl on the International Petroleum Exchange. However, the December natural gas contract dropped 6.8¢ to the equivalent of $3.22/Mcf on the IPE.