Commodity Corner: Stronger Euro Puts Damper on Oil Price
Crude oil settled lower on the first day of trading after the long holiday weekend.
After trading between $71.64 and $75.33 a barrel, the July oil futures contract price settled at $72.58 Tuesday 58 cents lower than Friday's settlement price. The U.S. Commerce Department reported that domestic manufacturing in May grew more than expected. Countering this positive economic news, however, were a strengthening Euro against the greenback and concerns about a cool-off in China's manufacturing sector.
Natural gas also lost ground Tuesday, settling at $4.25 per thousand cubic feet compared to $4.34 last Friday. Weather predictions that June will not be as hot as previously believed and electricity demand will be lower than expected prompted the decline. The intraday range for the July natural gas futures price included a low of $4.25 and a high of $4.43.
Gasoline prices also fell Tuesday, settling four cents lower at $4.25. The price of a gallon of gasoline traded from $1.97 to $2.05.