West Texas crude under $75 a barrel, gas prices fall
Why are oil prices dropping?
OPIS chief oil analyst Denton Cinquegrana provides insight on energy prices amid the Israel-Hamas war on ‘Barron’s Roundtable.’
Oil prices slid after the Organization of the Petroleum Exporting Countries (OPEC) unexpectedly rescheduled a series of meetings for later this month.
West Texas Intermediate and Brent Crude, the global benchmark, both dropped over 4% to the $74 and $79 per barrel level, respectively, by mid-morning Wednesday.
Ticker | Security | Last | Change | Change % |
---|---|---|---|---|
USO | UNITED STATES OIL FUND L.P. | 71.59 | -0.95 | -1.32% |
BNO | UNITED STS BRENT OIL FD LP UNIT | 28.95 | -0.33 | -1.13% |
OPEC said on Wednesday that the 187th Meeting of the OPEC Conference, the 51st Meeting of the Joint Ministerial Monitoring Committee and the 36th OPEC and non-OPEC Ministerial Meeting have all been delayed until Thursday, Nov. 30. The three meetings were originally planned for Nov. 25 and Nov. 26.
Major oil stocks fell in sympathy.
Ticker | Security | Last | Change | Change % |
---|---|---|---|---|
XOM | EXXON MOBIL CORP. | 104.01 | -0.45 | -0.43% |
CVX | CHEVRON CORP. | 144.29 | +0.24 | +0.17% |
OXY | OCCIDENTAL PETROLEUM CORP. | 60.21 | -0.54 | -0.89% |
LOUISIANA OIL LEAK SOURCE STILL UNKNOWN AFTER 1M GALLONS SPILL INTO GULF, COAST GUARD SAYS
Even before the meeting delay, prices have been falling nearly 12% in the last month.
U.S. Oil Fund
BIDEN ADMIN ABRUPTLY DELAYS MAJOR OIL AND GAS LEASE SALE MANDATED UNDER INFLATION REDUCTION ACT
The World Bank warned in late October that oil prices and other commodities could see “large increases” if the Israel-Hamas war spreads through the Middle East. The Washington-based institution also said that despite commodity markets responding “calmly” to the war, “historical precedent” suggests that escalating conflict in the region could substantially disrupt commodity supply.
Meanwhile, the Energy Information Administration reported on Wednesday a much larger than expected build in oil inventories of 8.7 million, a surprise build in gasoline stockpiles of 700,000 million and a steeper than expected drop in distillate supplies of 1 million.
EXPERT WARNS GREEN ENERGY PROJECTS ‘ARE NOT WORTH IT’ AS PRICES SPIRAL 'OUT OF CONTROL'
Consumers are getting a break this Thanksgiving week, one of the busiest travel periods of the year, as the dip in oil prices has roughly 70,000 gas stations in the U.S. at $2.99 per gallon or lower, Patrick De Haan, head of petroleum analysis for GasBuddy, posted on Wednesday.
Prices at the pump have mimicked the drop in crude and have been steadily falling in recent months with consumers paying less than the same period a year ago despite the ongoing conflict in the Middle East and between Russia and Ukraine.
FOX Business’ Greg Norman and Chris Pandolfo contributed to this report.
News Related-
Panthers-Senators brawl ends in 10-minute penalty for all players on ice
-
Mom of 2 goes missing after leaving mental health treatment in Texas, never boarding plane to California to see kids for Thanksgiving
-
Freed Israeli hostage describes deteriorating conditions while being held by Hamas
-
High stakes and glitz mark the vote in Paris for the 2030 World Expo host
-
RBA boss Michele Bullock concedes borrowers ‘very unhappy’ with rate hikes
-
Australians on alert for scammers after bushfire destroys 18 homes, businesses
-
OnlyFans star Seb Guilhaus set to plead to drug trafficking charges in January
-
Armed gang terrorise couple in violent home invasion
-
LeBron James takes NBA all-time minutes lead in career-worst loss
-
Vikings' Kevin O'Connell to evaluate Josh Dobbs, path forward at QB
-
Lee Hsien Yang ordered to pay damages to Shanmugam, Vivian for defaming them over Ridout Road rentals
-
Cow of breed that produces high-end Japanese beef rakes in record $271,000 at auction
-
North Korea cites rare dissent in elections even as 99% back candidates
-
Faulty pipe caused water leakage and ‘very bad odour’ at Jem mall