Oil hovers above $66 after weak jobs data
Oil prices hovered above $66 a barrel Friday in light holiday trading a day after grim unemployment numbers from the U.S. and Europe sent prices tumbling.
By mid-afternoon in Europe, benchmark crude for August delivery was down 16 cents to $66.57 a barrel in electronic trading on the New York Mercantile Exchange. On Thursday, it fell $2.58, nearly 4 percent, to settle at $66.73.
Trading in the U.S. is closed Friday for the Independence Day holiday.
Oil came off an eight-month intraday high of $73.38 a barrel earlier this week on growing investor concerns that a doubling of the crude price since March isn’t justified by a sluggish global economy.
“Renewed concern over the global economy, reflected in lower equities, is the main driver of weaker oil market sentiment,” said Britain’s KBC Market Services. “However, in contrast to recent months, weak oil market fundamentals seem at last to be exerting some influence.”
KBC mentioned rising oil inventories and U.S. gasoline stocks as evidence of weak demand.
“There is no longer a shortfall, or support, in any key sector of the oil complex,” KBC said.
Weak jobs figures released Thursday suggested consumption will remain tepid and crude demand may not pick up quickly.
A Labor Department report showed the U.S. economy lost a larger-than-expected 467,000 jobs in June. The unemployment rate climbed to 9.5 percent, a 26-year high.
Unemployment in the 16 countries that use the euro spiked to a ten-year high in May, also at 9.5 percent.
The dismal economic data undermined investor confidence and sent the Dow Jones industrial average down 2.6 percent Thursday. Most Asian and European stock indexes also were lower Friday.
In other Nymex trading, gasoline for August delivery was down 0.73 cent to $1.7835 a gallon and heating oil rose 0.44 cent to $1.7060. Natural gas for August delivery rose 6.4 cents to $3.679 per 1,000 cubic feet.
In London, Brent prices slid 27 cents to $66.38 a barrel on the ICE Futures exchange.
Associated Press writer Alex Kennedy in Singapore contributed to this report.
Related News
Oil hovers near $66 in Asia after jump in US crude supplies sparks 2-day plungeSeptember 25th, 2009 Oil hovers near $66 in Asia after 2-day plungeSINGAPORE — Oil prices hovered near $66 a barrel Friday in Asia after investor concerns about U.S. crude demand sparked a two-day plunge.
Oil hovers under $71 in European morning trade as US supplies rise, suggesting demand is weakSeptember 16th, 2009 Oil hovers under $71 as US crude supplies climbLONDON — Oil traded just below $71 a barrel Wednesday as an unexpected rise in U.S. crude supplies heightened investor concerns about weak consumer demand.
Oil hovers near $71 in Asia as US crude supplies rise, suggesting demand still weakSeptember 16th, 2009 Oil hovers near $71 as US crude supplies climbSINGAPORE — Oil prices hung near $71 a barrel Wednesday in Asia as an unexpected rise in U.S. crude supplies heightened investor concerns about weak consumer demand.
Oil hovers near $68 in Asia as investors eye US jobs reportSeptember 3rd, 2009 Oil hovers near $68 ahead of US jobs reportSINGAPORE — Oil prices hovered near $68 a barrel Friday in Asia as investors looked to a U.S. unemployment report later in the day for signs of economic recovery.
Oil hovers above $69 in Asia amid forecasts for weak crude demand this yearAugust 12th, 2009 Oil hovers above $69 amid weak crude demandSINGAPORE — Oil prices hovered above $69 a barrel Wednesday in Asia after the U.S. and OPEC said global crude consumption will slump this year as economies struggle to emerge from recession.
Oil hovers near $67 in Asia as optimism on economy sparks stock rallyJuly 31st, 2009 Oil hovers near $67 as US, Asian stocks jumpSINGAPORE — Oil prices hovered near $67 a barrel Friday in Asia after investor optimism about the economy fueled rallies in crude and stocks. Benchmark crude for September delivery was down 20 cents to $66.74 a barrel by late afternoon Singapore time in electronic trading on the New York Mercantile Exchange.
Oil hovers above $63 in Asia amid rising US crude inventories, sluggish economyJuly 30th, 2009 Oil hovers above $63 amid weak US crude demandSINGAPORE — Oil prices paused above $63 a barrel Thursday in Asia after signs of weak U.S. crude demand triggered a sharp sell-off this week.
Oil hovers near $63 in Asia amid rising US crude inventories, sluggish economyJuly 30th, 2009 Oil hovers near $63 amid weak US crude demandSINGAPORE — Oil prices paused near $63 a barrel Thursday in Asia after signs of weak U.S. crude demand triggered a sharp sell-off this week.
Oil hovers near $68 in Asia as 3-week rally stalls amid mixed economic, company newsJuly 28th, 2009 Oil hovers near $68 as 3-week rally stalsSINGAPORE — Oil prices hovered near $68 a barrel Tuesday in Asia as a three-week rally stalled amid mixed economic and corporate news. Benchmark crude for September delivery was up 3 cents at $68.41 a barrel by late afternoon Singapore time in electronic trading on the New York Mercantile Exchange.
Oil hovers near $64 at midday in Europe as investors eye company results, weak crude demandJuly 21st, 2009 Oil hovers near $64 as earnings, demand weighOil prices hovered near $64 a barrel Tuesday as investors weighed improving corporate results against weak crude demand. By midday in Europe, benchmark crude for August delivery was up 18 cents to $64.16 a barrel in electronic trading on the New York Mercantile Exchange.
Oil hovers above $66 in Asia after weak jobs numbers undermine investor confidenceJuly 3rd, 2009 Oil hovers above $66 in Asia after weak jobs dataSINGAPORE — Oil prices hovered above $66 a barrel Friday in Asia in light holiday trading a day after grim unemployment numbers from the U.S. and Europe sent crude prices tumbling.
Oil hovers below $71 in Asia on investor concern recent rally went too far, too fastJune 16th, 2009 Oil hovers below $71 on economic recovery concernsSINGAPORE — Oil prices hovered below $71 as investors mulled whether a three-month rally went too far, too fast amid high supplies and weak demand. Benchmark crude for July delivery rose 24 cents to $70.86 a barrel by late afternoon Singapore time in electronic trading on the New York Mercantile Exchange.
Oil hovers under $69 in Asia ahead of US jobs reportJune 5th, 2009 Oil hovers under $69 in AsiaBANGKOK — Oil hovered just under $69 a barrel Friday in Asia as the first drop in U.S. unemployment claims in five months provided another sign that weak demand for crude could improve.
Oil hovers just above $66 in Asia as US crude inventory data stymies 3-month rallyJune 4th, 2009 Oil hovers above $66 as 3-month rally cool offSINGAPORE — Oil prices hovered above $66 a barrel Thursday in Asia after a jump in U.S. crude inventories triggered a sharp pullback from a three-month rally.
Geithner says administration committed to maintaining confidence of global investorsJune 2nd, 2009 Geithner seeks to reassure global investorsBEIJING — Treasury Secretary Timothy Geithner says the Obama administration is committed to doing everything possible to maintain investor confidence in U.S. financial markets.
Loading ...