Oil Prices Fall Closer to $95

The current oil price declined to closer to $95 per barrel as investors weighed an increase in the trade data of China against anticipations of another rise in the crude supplies of the United States.

On the New York Mercantile Exchange, the U.S. benchmark crude for delivery in June was lower by 17 cents to $95.45 per barrel. The contract shed 54 cents to end at a crude price per barrel of $95.62 during the previous trading day.

According to China, its April exports grew 14.7 percent compared to the previous year, while its imports increased 16.8 percent. The two figures signified an increase in growth versus the month of March.

The figures signify an improvement in the economic growth of China following an unexpected fall to 7.7 percent during the first quarter of the year from the 7.9 percent of the previous quarter.

The U.S. Energy Department will soon release its weekly data on the crude supplies of the United States. Analysts polled by Platts anticipate a supply rise of 1.9 million barrels during the week that ended on the 3rd of May.

On London’s ICE Futures Exchange, Brent, the benchmark used to assign prices to international oil types, was 65 cents lower to $103.75 a barrel.

In other NNYMEX trading, wholesale gasoline shed 2.04 cents to a price of $2.813 per gallon. Heating oil moved 2.01 cents lower to a price of $2.9076 per gallon. While the cost of natural gas moved 1.8 cents higher to $3.938 per thousand cubic feet.

By: Chris Termeer

Chris Termeer

Chris Termeer is an oil and gas consultant, industry commentator and analyst. His book, Fundamentals of Investing in Oil and Gas provides a comprehensive overview of all aspects of the oil and gas industry, including exploration, drilling, production, storage, transportation and refining, to name but a few.

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