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Thursday, September 18, 2008

Oil prices rise after bigger-than-expected drop in UScrude supplies

 
 
 
NEW YORK (AP) -- Oil prices are rising after the government said U.S. crude supplies fell far more than expected last week.

The Energy Information Administration said Monday that U.S. crude stocks fell by 6.3 million barrels for the week ending Sept. 12, much bigger than the 3.7 million barrel drop expected by analysts surveyed by energy research firm Platts expected.

The decrease was due to a shutdown of virtually all U.S. Gulf Coast oil production ahead of the passage of Hurricanes Gustav and Ike.

Light, sweet crude for October delivery was up $2.20 to $93.35 a barrel on the New York Mercantile Exchange.

However, because the decrease in production was due to weather factors, crude's recent price decline is likely to resume in the near future.


 

1 comment:

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