X

Sign Up To Our Free Newsletter

Join Now

Thanks for subscribing to our free newsletter!

ERROR

  • 3 minutes Texas forced to have rolling brown outs. Not from downed power line , but because the wind energy turbines are frozen.
  • 7 minutes Scientists Warn That Filling The Sahara With Solar Panels Is A Bad Idea
  • 11 minutes United States LNG Exports Reach Third Place
  • 15 minutes Joe Biden's Presidency
  • 43 mins U.S. Presidential Elections Status - Electoral Votes
  • 30 mins Texas Supply Chain Massacre
  • 2 days Texas forced to have rolling black outs, primarily because of large declines in output from fossil fuel power plants
  • 7 hours America Makes Plans to Produce Needed Rare Earth Minerals Domestically
  • 1 day Good Marriage And Bad Divorce: Germany's Merkel Wants Britain and EU To Divorce On Good Terms
  • 21 hours Speaker Pelosi, "Tear Down This Wall" . . around Capital Building
  • 3 days Retired RAF pilot wins legal challenge over a wind farm
Oil Prices Spike As U.S. Outages Tighten Supply

Oil Prices Spike As U.S. Outages Tighten Supply

Oil prices spiked to 13-month…

Is This Oil Rally The Start Of Something Much Bigger?

Is This Oil Rally The Start Of Something Much Bigger?

Commodities have rallied in recent…

Darrell Delamaide

Darrell Delamaide

Darrell Delamaide is a writer, editor and journalist with more than 30 years' experience. He is the author of three books and has written for…

More Info

Premium Content

Oil Prices Buffeted in Narrow Range But End Week Little Changed

Oil Market Summary for: 08/30/2010 to 09/03/2010.

Oil prices continued to move basically sideways as bullish and bearish news buffeted prices up and down in a narrow range.

The benchmark West Texas Intermediate futures contract settled Friday at $74.60 a barrel, off its lows for the day, and slightly lower than the $75.17 close a week earlier.

While stocks welcomed the new month with four days of gains, oil prices rose and fell depending not only on economic data but also on weather reports and another oil rig fire in the Gulf of Mexico.

Hurricane Earl developed into a Category 4 storm before weakening as it hit the U.S. East Coast. As the possible disruption to oil supply waned, crude oil prices fell.

However, a fire Thursday on a shallow-water oil drilling platform reawakened concerns that new government measures could restrict offshore drilling, pushing prices up, even though all workers were rescued and there were no immediate signs of an oil spill.
But the dominant influence on markets this week was the expected rise in the U.S. unemployment rate amid fears that the economic recovery is running out of steam. When the figures were finally released on Friday, markets reacted positively because the job loss was not as severe as forecast even though the jobless rate did rise to 9.6% from 9.5%.

Earlier in the week, the Institute for Supply Management’s index of manufacturing activity showed a rise in August, alleviating concerns that all economic news was showing a downward trend. The positive U.S. news on Wednesday, echoed by a key manufacturing index in China, enabled oil prices to recover from a dive below $72 a barrel at the beginning of the week.

Moving into the long holiday weekend, it looked like the main effect of Hurricane Earl would be to dampen demand for gasoline as motorists shunned the rain and wind brought by the storm. Labor Day traditionally marks the end of the driving season and comes this year with unusually high inventories of both oil and gasoline.

Analysts surveyed by Bloomberg said that refineries closing for seasonal maintenance in September and October could further dampen demand for oil and weigh on prices starting next week.

By. Darrell Delamaide for OilPrice.com


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Anonymous on September 06 2010 said:
    Why should there be a big change, Darrell. OPEC wants $75/b or thereabouts, and they have the juice to get it. Of course, if the oil price takes another dive, the OPEC bosses might be so heavily involved in my favorite Vienna gin joint that they don't notice it, and the oil price collapses to 65. I wouldn't cry about that.,

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News