Commodity Corner: Oil Settles Higher on Euro Rebound

Monday came and went without a Greek debt default, and the euro managed to rebound from its lowest point since mid-February.

Because oil becomes a better value for investors when other currencies strengthen against the U.S. dollar, the price of a barrel of light sweet crude oil for October delivery gained 95 cents to settle at $88.19 Monday. The Brent contract price, however, lost 52 cents to end the day at $112.25 a barrel.

Investors increasingly braced themselves last week for Greece to default on its national debt payments, with some expecting the situation to reach a head on Monday. As a result, the euro headed downward for much of the day until bottoming out at $1.3495. The currency regained some positive movement against the dollar. According to the European Central Bank, Monday's reference rate was $1.3656.

The WTI traded within a range from $85.00 to $88.95 while the Brent contract fluctuated from $110.62 to $113.69.

With Tropical Storm Nate steering clear of the U.S. Gulf Coast, instead making landfall in Mexico's Tabasco state, investors see no near-term threats to oil and gas infrastructure in the Gulf. Moreover, forecasters expect Tropical Storm Maria to remain in the Atlantic and veer away from the U.S. East Coast. As a result, October natural gas lost three cents to end the day at $3.885 per thousand cubic feet.

Natural gas peaked at $3.925 and bottomed out at $3.83 Monday.

October gasoline also lost three cents, settling at $2.74 a gallon. The front-month contract fluctuated from $2.71 to $2.78.

Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Project Engineer/Project Manager
Expertise: Project Management
Location: Baton Rouge, 
 
Sales Manager ADI
Expertise: Sales
Location: Pittsburgh, 
 
Community Relations Manager Job
Expertise: Legal|PR / Corporate Communications|Project Management
Location: Red Wing, MN
 
search for more jobs

Brent Crude Oil : $55.49/BBL 2.45%
Light Crude Oil : $52.42/BBL 2.04%
Natural Gas : $3.2/MMBtu 5.04%
Updated in last 24 hours