U.S. oil prices climb back above $70 a barrel; natural-gas rallies to a fresh 7-year high

U.S. benchmark oil prices settled above $70 a barrel on Monday for the first time in nearly six weeks, and natural gas futures extended last week’s rally to mark a finish at the highest since February 2014. “Oil prices have continued to edge higher with U.S. supply concerns in the wake of Hurricane Ida still dominating,” said Michael Hewson, chief market analyst at CMC Markets UK. “There had been an expectation that a lot of the damage to the infrastructure caused by the storm wouldn’t take too long to fix,” he said. “This turns out to be a little wide of the mark, and could well go on for a few weeks more,” particularly with Tropical Storm Nicholas in the Gulf of Mexico. The Bureau of Safety and Environmental Enforcement reported Monday that an estimated 43.6% of oil production and 51.6% of natural-gas production in the Gulf remains shut in following Hurricane Ida. West Texas Intermediate crude for October delivery
rose 73 cents, or nearly 1.1%, to settle at $70.45 a barrel, the highest front-month contract finish since Aug. 3, FactSet data show. October natural gas
rose 29 cents, or 5.9%, to settle at $5.23 per million British thermal units -a more than seven-and-half-year high.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *