Oil Falls as US Gov't Shutdown Hits 3rd Day
NEW YORK (AP) — The price of oil fell Thursday, along with stocks and metals, as the U.S. government shutdown dragged into a third day.
U.S. benchmark oil contract for November delivery fell 79 cents to close at $103.31 a barrel on the New York Mercantile Exchange.
Markets have been weighing the impact of a partial shutdown of the U.S. government this week after a congressional dispute over funding for President Barack Obama's health care program. There are concerns that a prolonged halt to government activities could reduce demand for energy and hurt confidence in the economy.
Economic indicators did not help, either. The Labor Department reported that the number of Americans seeking unemployment benefits remained near six-year lows, but while employers are have stopped laying off workers, the creation of new jobs has slowed in recent months. Also, a survey showed disappointing growth at U.S. service industries.
U.S. stock markets were down across the board Thursday afternoon, while gold, silver and copper also fell.
Brent, the benchmark for international crudes, slipped 19 cents to $109 in London.
In other energy futures trading on Nymex:
- Wholesale gasoline rose 1 cent to $2.64 per gallon.
- Natural gas dropped 4 cents to $3.50 per 1,000 cubic feet.
- Heating oil rose 1 cent to $3.00 per gallon.
Pablo Gorondi in Budapest and Pamela Sampson in Bangkok contributed to this report.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.