Commodity Corner: Crude Settles Below $70
Bearish sentiment prevailed Tuesday on the NYMEX, and the price of a barrel of crude oil settled at a level not seen since late September of last year.
Ongoing concerns about a the U.S. Dollar's strong position relative to the Euro, coupled with continued abundant stockpiles at the Cushing, Okla., trading hub, led the oil futures price to settle at $69.41 -- 67 cents lower than Monday's settlement price. The oil price hit a high of $72.52 for the day and bottomed out at $69.20.
The natural gas futures price for June delivery also declined Tuesday, losing six cents from the previous day to settle at $4.34 per thousand cubic feet. Recent gains in the commodity price, coupled with very strong natural gas inventories, prompted traders to divest some of their holdings. The intraday high and low prices were $4.49 and $4.30, respectively.
Tuesday's gasoline price was a carbon copy of Monday's, settling at $2.04 a gallon. Gasoline traded between $2.04 and $2.09 Tuesday.