Wednesday, April 16th3.3°C
17283
21469

Crude rises above US$97 a barrel as cold snap boosts demand for heating oil

The price of oil rose for the fourth consecutive day Thursday to above US$97 per barrel as an ongoing cold spell in parts of the U.S. boosted demand for heating oil.

West Texas Intermediate crude for March delivery rose 59 cents to close at US$97.32 a barrel on the New York Mercantile Exchange. Brent crude, a benchmark for international oil used by many U.S. refineries, fell 69 cents to close at US$107.58 in London.

Natural gas futures rose again, adding four cents to close at $4.73 per 1,000 cubic feet, as temperatures in many parts of the U.S. Northeast remained well below freezing and forecasts called for continued cold over the next week, boosting anticipated heating demand.

Natural gas futures are up 18 per cent over the past two weeks, to their highest level since July 2011. In some regions, natural gas has skyrocketed to record prices of more than $100 per 1,000 cubic feet on the spot market.

The deep chill blanketing much of the central and eastern U.S. is also reducing stocks of heating oil as homeowners crank up the thermostat and electric utilities burn it to avoid paying for natural gas.

That, in turn is leading to higher crude prices as traders anticipate that refineries will need to process more crude to meet heating oil demand.

"The weather factor is becoming an increasingly important driver," wrote energy analyst Jim Ritterbusch in a report Thursday.

In other energy futures trading on Nymex, wholesale gasoline fell 1.5 cents to close at US$2.662 a U.S. gallon (3.79 litres) and heating oil rose one cent to close at US$2.991 a gallon.

(TSX:ECA), (TSX:IMO), (TSX:SU), (TSX:HSE), (NYSE:BP), (NYSE:COP), (NYSE:XOM), (NYSE:CVX), (TSX:CNQ), (TSX:TLM), (TSX:COS), (TSX:CVE)

The Canadian Press


Read more Business News

21097


Recent Trending




Today's Market
S&P TSX14303.92+19.49
S&P CDNX992.10-3.91
DJIA16357.8095.24
Nasdaq4057.686+23.524
S&P 5001852.59+9.61
CDN Dollar0.9110+0.0002
Gold1302.30+2.30
Oil104.62+0.87
Lumber324.60+0.40
Natural Gas4.563-0.004

 
Okanagan Companies
Pacific Safety0.11-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.27-0.08
Cantex0.045-0.005
Anavex Life Sciences0.38-0.0175
Metalex Ventures0.0750.00
Russel Metals30.27-0.12
Copper Mountain Mining2.32-0.07
Colorado Resources0.2650.00
ReliaBrand Inc0.12-0.01
Sunrise Resources Ltd0.025-0.005
Mission Ready Services0.23-0.02

 
19691


21115

FEATURED Property
1910300258 Country Estate Place, Vernon, British Columbia
4 bedrooms 4 baths
$515,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


Valuation fears grip markets

The Big Picture Valuation fears grip markets Growing concerns about the level of stock market valuations sparked a risk-off trade in global markets this week. Investors are worried that many companies...


Quick and nimble

Photo: ContributedFor many businesses this has been a tremendously difficult time since the 2008 crisis. Business fell off. Sales techniques that always worked, well… stopped working. Customers...


Keeping a clear focus on the future

Many times when we are gripped by fear it can be one of two mental challenges that we can learn to overcome. Photo: ContributedThe Fear is completely imaginary. In this situation there may be no fact...

_



21604

21604


Member of BC Press Council


21188