Oil steady as US cold underpins demand
February 22, 2014, 12:03 am TWN
AP--The price of oil was little changed Friday, underpinned by demand stemming from arctic weather in the U.S.
Benchmark U.S. crude for April delivery was down 14 cents at US$102.61 a barrel at 0825 GMT in electronic trading on the New York Mercantile Exchange. The contract fell 9 cents to close at US$102.75 on Thursday.
Brent crude, used to set prices for international varieties of crude, was down 3 cents at US$110.27 a barrel.
“Market players are now looking at weather conditions in the U.S., it's quite cold and heating oil demand is getting tighter so that is supporting the crude oil prices,” said Tetsu Emori, commodity markets fund manager at ASTMAZ Futures Co. in Tokyo.
He said the inventory of natural gas in the U.S. has also fallen, pushing up the price of the commodity.
On Thursday, oil prices fell after a monthly survey by HSBC found that China's manufacturing, a driver of the global economy, contracted for a second straight month.
But uncertainty about protests in Venezuela, a major U.S. oil supplier, as well as export disruptions in Libya and South Sudan kept a floor under oil prices.
In other energy futures trading in New York:
— Wholesale gasoline fell 0.3 cent to US$3.018 a gallon.
— Natural gas added 17.7 cents to US$6.241 per 1,000 cubic feet.
— Heating oil shed 0.4 cent to US$3.08 a gallon.