Oil Price Slides as Fiscal Cliff Rally Fizzles

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

NEW YORK (AP) -- The price of oil fell Thursday as euphoria over a U.S. budget deal cooled and traders focused on ample crude supplies and lackluster demand.

Benchmark crude for February delivery fell 21 cents at $92.91 a barrel on the New York Mercantile Exchange. Prices jumped as much as 2 percent Wednesday after a deal in Washington averted the "fiscal cliff" of automatic tax increases and spending cuts.

Despite the stopgap budget deal, more hurdles are ahead for the U.S. economy, including a new deadline for more spending cuts in two months.

Investors were also gauging the underlying strength of the global energy market, where demand is weak and supplies are rising.

U.S. crude supplies were nearly 16 percent above the five-year average in the week ending Dec. 21, the most recent period for which statistics are available, according to the Energy Department. It also said U.S. production was at its highest point in 19 years. Data for last week will be released Friday. Analysts expect the report will show crude inventories dropped slightly but remain well above average.

Brent crude, used to price international varieties of oil, was down 47 cents to $112 a barrel on the ICE Futures exchange in London.

In other energy futures trading on the New York Mercantile Exchange:

  • Wholesale gasoline was unchanged at $2.79 a gallon.
  • Heating oil lost 3 cents to $3.02 a gallon.
  • Natural gas fell 6 cents to $3.19 per 1,000 cubic feet.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2177327, ~/Articles/ArticleHandler.aspx, 9/28/2016 12:01:24 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,207.24 -21.06 -0.12%
S&P 500 2,155.30 -4.63 -0.21%
NASD 5,290.75 -14.96 -0.28%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes