RTRS: NYMEX-Crude extends drop on economy, demand worry
NEW YORK, Nov 6 (Reuters) - U.S. crude futures fell on
Thursday as concerns about a slowing global economy curbing
already slowed oil demand kept pressure on the oil futures
complex.
Trading was choppy with volatile euro/dollar trading as the
dollar's strength also helped pressure crude.
"Oil prices slipped back further into a recently
established trading range yesterday and overnight, as the focus
of participants was on the threats to demand posed by a
contracting global economy," John Kilduff, senior vice
president at MF Global, wrote in a research note.
PRICES
* On the New York Mercantile Exchange at 9:45 a.m. EST
(1445 GMT), December crude CLZ8 was down $1.90, or 2.91
percent, at $63.40 a barrel, trading from $63.05 to $65.50.
* In London, December Brent LCOZ8 fell $1.90, or 3.07
percent, to $59.97 a barrel, trading from $59.75 to $62.00.
* NYMEX December RBOB RBZ8 fell 3.47 cents, or 2.44
percent, to $1.3897 a gallon, trading from $1.3860 to $1.44.
* NYMEX December heating oil HOZ8 fell 5.40 cents, or
2.63 percent, to $2.0007 a gallon, trading $1.9954 to $2.0594.
* The December heating oil crack spread <0#CL-HO=R> was at
$20.68 a barrel, and the RBOB crack spread <0#RB-CL=R> was at
minus $5.01.
* The spread between the current front month and the
five-year forward December crude contract CLc61 showed an
indicated plus $24, based on the asked price of $88.23 for
December 2013 crude.
TECHNICALS
NYMEX crude 10-day/20-day moving average: $65.56/$69.46
Technical support/resistance:
NYMEX crude: $62.65/$70.50
NYMEX heating oil: $1.95/$2.15
NYMEX RBOB: $1.3351/$1.50
For a report on oil market technicals click [ID:nL6507289]
MARKET NEWS
* The Bank of England made a shock 1.5 percentage point cut
in interest rates as it seeks to prevent Britain from sliding
into a deep recession. [ID:nL6576008]
* The euro trimmed losses against the U.S. dollar after
European Central Bank President Jean-Claude Trichet offered no
new clues on the direction of European interest rates. [USD/]
* The number of U.S. workers filing new claims for jobless
benefits fell by 4,000 last week to 481,000, according to a
Labor Department report. The department revised upward its
estimate for jobless claims in the prior week to 485,000 from
479,000. [ID:nN05310593]
* World stocks remained in the red and Wall Street had a
weaker start after the cut in UK interest rates and easing in
euro zone and Swiss rates underscored troubles facing the
global economy. [MKTS/GLOB]
* Only OPEC members producing "in excess" should cut output
again, if necessary, to lift crude prices, Ecuador Oil Minister
Derlis Palacios told Reuters on Thursday, predicting prices
would remain volatile in November. [ID:nN06409835]
* Marathon Oil Corp's (MRO.N: Quote, Profile, Research, Stock Buzz) 52,000 barrel per day crude
unit at its 76,000 bpd refinery in Texas City, Texas, will be
shut for two weeks after a weekend fire. [ID:nN06298713]
* The U.S. Energy Information Administration natural gas
storage report is due at 10:35 a.m. EST (1435 GMT). Storage was
expected to be up 25 billion cubic feet. [ID:nN05300709]
(Reporting by Robert Gibbons; Editing by Walter Bagley)