Light, sweet crude oil on the New York market and Brent crude oil on the London market both fell slightly on Jan. 2, but both benchmarks rose in early Jan. 3 trading upon reports of antigovernment protests in Iran.
More than 20 people have died during the street protests about Iran’s economy. Analysts said the unrest has supported world oil markets amid concerns about possible crude supply disruptions.
US crude oil analysts awaited the Jan. 4 release of the weekly oil and products inventory from the Energy Information Administration. The report was to be released a day later than normal because of the New Year’s holiday.
Meanwhile, US natural gas futures prices rose on cold weather across much of the nation.
Gas in underground storage across the Lower 48 was 3.332 tcf in late December, slightly below the 5-year average. But analysts expected withdrawals because of the recent cold snap across many states.
EIA’s weekly gas storage report was scheduled for release Jan. 4.
Energy prices
The February light, sweet crude contract on the New York Mercantile Exchange dropped 5¢ on Jan. 2 to $60.37/bbl. The March contract decreased by 6¢ to $60.38/bbl.
The NYMEX natural gas price for February climbed 10¢ to a rounded $3.06/MMbtu. Analysts attributed that price increase to frigid US temperatures. The Henry Hub cash gas price was $3.04/MMbtu.
Ultralow-sulfur diesel for February dropped 1¢ to a rounded $2.06/gal.
The NYMEX reformulated gasoline blendstock for February declined by 3¢ to a rounded $1.76/gal.
The Brent crude contract for March on London’s ICE fell 30¢ to $66.57/bbl. The April contract dropped 31¢ to $66.13.
The gas oil contract for January was $597/tonne. OPEC’s basket of crudes was $64.83 on Jan. 2, up 36¢.
Contact Paula Dittrick at [email protected].
