Oil prices mixed after United States data

GMT 14:52 2014 Wednesday ,04 June

Arab Today, arab today Oil prices mixed after United States data

US benchmark
London - AFP

Oil prices diverged on Wednesday as traders reacted to varied data out of the United States, the world's biggest consumer of crude.
The US benchmark, West Texas Intermediate for delivery in July, rose 10 cents to $102.76 a barrel.
Brent North Sea crude for July fell 57 cents compared with Tuesday's closing level to stand at $108.57 a barrel in late London deals.
"A large decline in crude oil inventories offered support to crude oil prices," said Myrto Sokou, senior research analyst at Sucden brokers. But weighing on prices was some poorly-received US jobs numbers.
The US private sector churned out a net 179,000 new jobs in May, a disappointing fall from April, payrolls company ADP said Wednesday.
It was the lowest level in four months, and suggested US economic growth remains in second gear.
Separate data however showed that activity in the US services sector, the driver of the world's largest economy, surged in May, a positive sign for growth in the second quarter.
The US Department of Energy meanwhile said that American commercial crude stocks slumped by 3.4 million barrels last week, far above expectations for a fall of of 100,000 barrels according to a Wall Street Journal survey of 13 analysts.
A decline in US inventories usually indicates healthy demand in the world's biggest economy.
Investors on Wednesday were monitoring also the situation in Ukraine, where government forces and pro-Russian insurgents have been embroiled in skirmishes for weeks in the east, although fighting has so far not expanded into a full-fledged civil war.
The West has accused Russia of fomenting unrest in its neighbour since the ousting of pro-Kremlin president Viktor Yanukovych in February. Moscow denies the allegation.
Investors are concerned that a full-blown conflict in Ukraine would disrupt supplies and send energy prices soaring. Russia accounts for nearly 40 percent of EU gas imports, with half of that transiting through pipelines in Ukraine.
Analysts say the risk premium associated with the crisis has slightly eased after Russia gave Ukraine a respite of an extra week until June 9 to make payments for gas imports at an increased price set after Yanukovych was ousted.


Arab Today, arab today
Arab Today, arab today
arabtoday arabtoday arabtoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabs, Arab, Arab