By Claudia Assis and Sarah Turner, MarketWatch
SAN FRANCISCO (MarketWatch) — Oil futures declined Thursday after negative news on the macroeconomic front quashed an attempt at a rebound.
Light, sweet crude-oil for June delivery CLM11 -0.49% declined 22 cents to trade at $99.89 a barrel on the New York Mercantile Exchange.
It had traded at $100.30 a barrel, in the black, just moments before the first headlines signaling trouble in the housing market and in other areas.
April leading economic indicators fell 0.3%, the Conference Board said. Manufacturing conditions in the Philadelphia area fell in May. And existing-home sales declined 0.8% in April, surprising economists who had expected a rise.
Oil futures advanced $3.10, or 3.3%, on Wednesday, the best settlement for a front-month contract since May 10.
Wednesday’s government supply report showed crude inventories unchanged, compared to expectations of an increase.
Analysts at MF Global said Wednesday’s rise could be “regarded as nothing more than a technical relief rally in what is still a down market,” in the absence of a catalyst.
“The increased volatility we have been seeing in recent weeks can make these kind of moves par for the course,” they added.
Gasoline and heating oil traded higher. June gasoline RBM11 +0.96% gained 4 cents, or 1.3%, to $2.99 a gallon.
Heating oil for June delivery HOM11 +0.13% advanced 2 cents, or 0.6%, to $2.92 a gallon.
Natural gas for June delivery NGM11 -1.91% retreated by 6 cents, or 1.5%, to $4.13 per million British thermal units ahead of a U.S. government report on supplies in storage.
The Energy Information Administration is expected Thursday to report an addition of between 87 and 91 billion cubic feet to gas storage stocks for the week ending May 13, according to a Platts survey of analysts.
A build within expectations would be larger than the 78-Bcf injection in the same week a year ago and on par with the five-year-average of 91 Bcf.
