SH: Commodities: Crude slips over $1, gold above $940
LONDON (SHARECAST) - US crude oil tumbled over $1 on Friday amid losses on Wall Street and as concern about weak demand dominated.
On Thursday oil futures rose above $70 a barrel on news about more attacks on oil pipelines in Nigeria, however, by Friday reports of a 60-day cease fire in the Niger Delta took crude prices lower.
The Energy Information Administration’s data showing weak demand, on Wednesday, also softened demand for the black stuff.
US light crude oil for August delivery settled $1.07 lower at $69.16 a barrel on the New York Mercantile Exchange.
A weaker dollar capped a bigger drop in oil prices while among precious metals gold prices settled above $940.
The weaker greenback boosted the yellow metal’s appeal as an alternative investment.
COMEX gold for August delivery settled up $1.50 to $941 an ounce. The Federal Reserve’s announcement that it will keep interest rates close to zero for ‘an extended period’ also boosted demand for gold.
Silver for July rose 12.3 cents to $14.128 an ounce.
