US crude sinks $2.56/bbl on Gustav supply talk

28 August 2008 21:15  [Source: ICIS news]

HOUSTON (ICIS news)--NYMEX light sweet crude futures for October delivery settled at  $115.59/bbl on Thursday, down $2.56 in response to the pledge of emergency crude supplies if Tropical Storm Gustav causes serious damage to the US energy infrastructure.

Both the US Department of Energy and the European International Energy Agency announced their intentions to release stockpiles if needed.

Prices started to tumble when the US dollar posted strong gains against the euro and after the Energy Information Administration’s (EIA) supply statistics showed a much greater-than-forecast build in natural gas stocks.

With Tropical Storm Gustav expected to intensify prior to making landfall, more energy companies continued evacuating personnel from offshore platforms.

October crude established a high of $120.50/bbl but reversed direction and plunged to $114.08/bbl before rebounding.

ICE Brent for October delivery sank to $112.81/bbl and settled at $114.17/bbl, down $2.05.

To discuss issues facing the chemical industry go to ICIS connect

By: Ignacio Sotolongo
+1 713 525 2653

< previous article(VIDEO - ICIS news Europe Lunchtime Bulletin 27 October 2009)

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly