SALON

Wednesday, Jan 30, 2013 6:15 AM UTC

Oil steady ahead of the release of US indicators

By

Topics: From the Wires,

BANGKOK (AP) — Oil prices were nearly flat Wednesday as a recent rally cooled off ahead of the release of more U.S. economic indicators and the conclusion of a meeting of Federal Reserve policymakers.

Benchmark oil for March delivery was down 1 cent to $97.56 a barrel at midday Bangkok time in electronic trading on the New York Mercantile Exchange. The contract rose $1.13, or 1.2 percent, to close at $97.57 on Tuesday after being pushed higher by a report about rising U.S. home prices. Energy prices can rise when investors feel good about the economy, since it’s needed to power manufacturing and other economic activity.

But traders became slightly more cautious ahead of the release of other U.S. economic indicators, including economic growth on Wednesday and weekly jobless claims Thursday. In addition, the Federal Reserve will conclude a two-day meeting later Wednesday with the release of a statement that investors will study for clues about the outlook for the economy and interest rates.

Recent rises in oil prices have been the result of an improving global economy, and positive manufacturing reports from the U.S. and China. But significant gains could be capped by demand constraints and ample supply, analysts said.

“The fundamentals are also likely to deteriorate again later in the year,” said analysts at Capital Economics in a report. “Over the longer term, booming energy supply from both conventional and new sources will also add to the downward pressure on prices.”

Brent crude, used to price international varieties of oil, rose 1 cents to $114.37 a barrel on the ICE Futures exchange in London.

In other energy futures trading on Nymex:

— Wholesale gasoline fell 1 cent to $2.966 per gallon.

— Natural gas rose 3.4 cents to $3.292 per 1,000 cubic feet.

— Heating oil rose 0.6 cent to $3.104 a gallon.

More By Pamela Sampson.

Next Article

Related Stories

More Related Stories

Featured Slide Shows

The week in 10 pics

close X
  • Share on Twitter
  • Share on Facebook
  • Thumbnails
  • Fullscreen
  • 1 of 11
  • Lisa Montgomery embraces her nephew Thursday after a tornado tore apart her home in Cleburne, Texas. The twister killed six people and destroyed entire swaths of the North Texas town.
    Credit: AP/LM Otero

  • Jack McMahon, the defense attorney for abortion doctor Kermit Gosnell, speaks outside the Criminal Justice Center in Philadelphia Tuesday. His client was convicted of killing three babies in his clinic, and will serve multiple life sentences.
    Credit: AP/Matt Rourke

  • A photo taken Monday captures Vice President Joe Biden's response to a Milwaukee second-grader's innovative proposal to end America's epidemic of gun violence. This guy!
    Credit: AP/Jenny Aicher

  • Sen. Rand Paul, R-Ky., flanked by a grouper-eyed Michele Bachmann, addresses the IRS' admission that it targeted Tea Party groups in advance of the 2012 election. In an op-ed for CNN Thursday, the Kentucky senator slammed the president for his faux outrage.
    Credit: AP/Molly Riley

  • Ousted IRS chief Steven Miller is sworn in on Capitol Hill Friday. Miller testified before the House Ways and Means Committee on the extra scrutiny the agency gave conservative groups applying for tax-exempt status.
    Credit: AP/J. Scott Applewhite

  • Attorney General Eric Holder pauses as he testifies on Capitol Hill before the House Judiciary Committee Wednesday. Holder is under fire, among other things, for the Justice Department's gathering of phone records at the Associated Press.
    Credit: AP/Carolyn Kaster

  • O.J. Simpson sits during an evidentiary hearing at Clark County District Court in Las Vegas, Nev., Thursday. Simpson, who is currently serving a nine-to-33-year sentence in state prison for armed robbery and kidnapping, is using a writ of habeas corpus to seek a new trial.
    Credit: AP/Las Vegas Review-Journal/Jeff Scheid

  • Major Tom to ground control: On Sunday astronaut Chris Hadfield recorded the first music video from space, a cover of David Bowie's "Space Oddity."
    Credit: AP/NASA/Chris Hadfield

  • When it rains it pours. President Barack Obama speaks during a news conference Thursday with Turkish Prime Minister Recep Tayyip Erdogan, inexplicably inspiring an #umbrellagate Twitter meme.
    Credit: AP/Jacquelyn Martin

  • A smoke plume rises high above a road block at the intersection of County A and Ross Road east of Solon Springs, Wis., Tuesday. No injuries were reported, but the the wildfire caused evacuations across northwestern Wisconsin.
    Credit: AP/The Duluth News-Tribune/Clint Austin

  • Recent Slide Shows

  • Share on Twitter
  • Share on Facebook
  • Thumbnails
  • Fullscreen
  • 1 of 11

Related Videos

Comments

 0 Comments

Comment Preview

Your name will appear as username

You may use these HTML tags and attributes: <a href=""> <b> <em> <strong> <i> <blockquote>

follow salon

Most Read

Popular on Reddit

links from salon.com

From Around the Web

Presented by Scribol
listener_new_rect The Listener: Chekhov's story mirrors Russia's own

Recommendations