Oil Prices Start Week Higher
The West Texas Intermediate (WTI) crude oil benchmark traded above the $57-mark Monday but did not stay in that territory.
WTI crude oil for April delivery gained 72 cents Monday, settling at $56.79 per barrel. The WTI peaked at $57.01 and bottomed out at $55.96.
The May contract price of a barrel of Brent crude oil also finished higher Monday. The Brent settled at $66.58, reflecting an 84-cent increase.
“Fewer barrels from Saudi Arabia and Venezuela helped to support crude prices today, and both WTI and Brent closed higher,” said Tom McNulty, Houston-based managing director with Great American Group.
To be sure, the trading range remains “fairly narrow,” McNulty added.
“U.S. imports from Saudi Arabia last year were down almost 10 percent, while our global oil exports rose dramatically,” said McNulty. “I think the production declines in Saudi Arabia and Venezuela can be replaced with barrels from other producers, faster than typically assumed.”
Reformulated gasoline (RBOB) also settled higher. The April RBOB contract added more than two cents to end the day at $1.83 per gallon.
Henry Hub natural gas futures edged downward Monday. The April contract price lost nine cents, settling at $2.77.
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