🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Stocks

Crude oil futures turn lower after U.S. jobless claims rise

Published 08/25/2011, 10:04 AM
ENI
-
LCO
-
CL
-
Investing.com – Crude oil futures erased gains on Thursday, retreating from a daily high after official data showed that U.S. jobless claims rose unexpectedly last week, while market focus remained on Friday’s highly-anticipated speech by Federal Reserve Chairman Ben Bernanke. 

On the New York Mercantile Exchange, light, sweet crude futures for delivery in October traded at USD84.94 a barrel during U.S. morning trade, edging down 0.28%.  

It earlier rose as much as 1.6% to trade at a daily high of USD86.55 a barrel.

The U.S. Department of Labor said earlier that the number of individuals filing for initial jobless benefits rose by 5,000 last week to a seasonally adjusted 417,000, confounding expectations for a decline to 405,000.

The previous week’s figure was revised up to 412,000 from 408,000. 

Oil traders have been paying close attention to readings on U.S. employment levels for signs that people are returning to work, thus driving more and using more energy.

Meanwhile, markets continued to look ahead to Friday’s speech by Federal Reserve Chairman Ben Bernanke at the central bank’s annual conference in Jackson Hole, Wyoming for any hints regarding fresh stimulus measures.

Crude prices found support after a number of oil producers announced plans to shut down more than 28 million barrels of oil storage capacity in the Bahamas, as they prepared for Hurricane Irene to make landfall.

Elsewhere, on the ICE Futures Exchange, Brent oil futures for October delivery eased down 0.07% to trade at USD110.25 a barrel.

The spread between the two contracts widened to USD25.31, re-approaching the record high of USD26.42 it hit on August 19. 

Paolo Scaroni, chief executive of the largest international oil producer operating in Libya, Eni SpA said earlier that it would take the company between six to 18 months to restart oil production in Libya. 

The comments come after Wall Street lender Citibank estimated that Libya could resume its full oil production capacity of 1.6 million barrels per day by the end of 2012.  

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.