WTI Pares Monthly Loss as Distillate Demand Climbs on U.S. Cold

West Texas Intermediate rose, trimming the biggest monthly decline for January since 2010, as demand for distillate fuel countered a second weekly increase in U.S. crude stockpiles.

Futures advanced as much as 0.3 percent in New York after slipping 5 cents yesterday. Demand for distillates, which includes heating oil, surged to the highest level in almost six years amid colder weather in the U.S., data from the Energy Information Administration show. Crude inventories climbed by 6.4 million barrels last week, said the EIA. They were projected to gain by 2.25 million, according to a Bloomberg News survey.

WTI for March delivery was at $97.59 a barrel, up 23 cents, in electronic trading on the New York Mercantile Exchange at 1 p.m. Sydney time. The volume of all futures traded was about 55 percent below the 100-day average. Prices are down 0.9 percent this month.

Brent for March settlement rose 10 cents to $107.95 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $10.36 to WTI, from $10.49 yesterday.

(Source: bloomberg)                      

WTI Heads for First Weekly Gain Since December on U.S. Economy

West Texas Intermediate crude rose, heading for the first weekly advance since the end of December, as data signaled economic improvement in the U.S., the world’s biggest oil user.

Futures climbed as much as 23 cents in New York, after sliding 0.2 percent yesterday. U.S. jobless claims fell last week to the lowest level since November and manufacturing picked up in January, according to separate reports. Industrial production data for December is due today. The Organization of Petroleum Exporting Countries said the group’s oil output last month decreased to the lowest level since May 2011.

WTI for February delivery was at $94.10 a barrel, up 14 cents, in electronic trading on the New York Mercantile Exchange at 11:35 a.m. Sydney time. The contract slid 21 cents to $93.96 yesterday. The volume of all futures traded was about 69 percent below the 100-day average. Prices are up 1.5 percent this week.

Brent for February settlement expired yesterday after dropping 4 cents to $107.09 a barrel on the London-based ICE Futures Europe exchange. The more-active March contract fell 52 cents to $105.75. The European benchmark crude ended the session at a premium of $13.13 to WTI.

(Source: Bloomberg)

WTI Crude Gains a Second Day as Payrolls Damp Fed Speculation

West Texas Intermediate rose for a second day after slower-than-estimated growth in U.S. payrolls eased speculation the Federal Reserve will further curtail economic stimulus in the world’s biggest oil consumer.

Futures gained as much as 0.2 percent in New York. U.S. employers hired the fewest workers since January 2011 last month, a Jan. 10 Labor Department report showed, with payrolls rising 74,000, trailing the median forecast in a Bloomberg News survey for an 197,000 increase. Iran will curtail its nuclear program and permit more intrusive inspections beginning Jan. 20 under the terms of an agreement reached with world powers, President Barack Obama said yesterday.

WTI for February delivery was at $92.81 a barrel, up 9 cents, in electronic trading on the New York Mercantile Exchange at 11:05 a.m. Sydney time. The contract rose 1.2 percent to $92.72 on Jan. 10. The volume of all futures traded was about 29 percent below the 100-day average.

Brent for February settlement climbed as much as 39 cents, or 0.4 percent, to $107.64 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $14.79 to WTI. It ended the session at $14.53 on Jan. 10.

(Source: Bloomberg)

Gold Heads for Weekly Drop as Jobs Data May Boost Tapering Case

Jalatama news, Gold headed for the first weekly drop in three as investors await U.S. payrolls data amid speculation the Federal Reserve will make further cuts to stimulus. Silver is set for its worst week since November.

Bullion for immediate delivery was at $1,227.92 an ounce at 8:01 a.m. in Singapore from $1,227.95 yesterday. Prices are set to drop 0.7 percent this week, snapping a two-week advance. Gold for February delivery fell 0.2 percent to $1,227 on the Comex.

Minutes of the Fed’s December meeting released this week showed that some officials saw diminishing economic benefits from purchasing debt. The Fed said Dec. 18 that it will reduce its monthly bond purchases to $75 billion from $85 billion, citing improvements in the labor market. The employment report today is projected to show that employers added more jobs in 2013 than at any point in the past eight years.

The Labor Department report may show nonfarm payrolls rose 197,000 last month, according to the median estimate in a Bloomberg survey. That would bring the total for the year to 2.27 million, the most since 2005. A report from the ADP Research Institute on Jan. 8 showed companies added 238,000 workers in December, the biggest increase since November 2012.

The Fed minutes didn’t describe a detailed schedule for asset-purchase reductions. The central bank will “continue to do, probably at each meeting, a measured reduction” in the pace of purchases, Chairman Ben S. Bernanke said last month.

Silver for immediate delivery was little changed at $19.5743 an ounce. Prices are 2.9 percent lower this week, heading for the biggest drop since the period to Nov. 22.

Platinum declined 0.1 percent to $1,417.50 an ounce, heading for a third weekly advance. Palladium was little changed at $736.08 an ounce, also set for a third weekly gain.

(Source: Bloomberg)

Gold Drops as Dollar Strengthens Before Fed Minutes, Jobs Data

Berita Jalatama, Gold fell as the dollar held gains before the release of minutes from the Federal Reserve’s last meeting amid expectations that the central bank will continue to wind back stimulus as the U.S. economy improves.

Bullion for immediate delivery lost as much as 0.3 percent to $1,228.25 an ounce and was at $1,230.90 at 9 a.m. in Singapore. Prices dropped 0.5 percent yesterday, the most since Dec. 30, as the dollar strengthened. Gold for February delivery was little changed at $1,230.59 on the Comex in New York.

The Federal Open Market Committee decided at the Dec. 17-18 meeting to cut monthly bond purchases to $75 billion from $85 billion from this month, and San Francisco Fed President John Williams said yesterday that the program may end this year. The Bloomberg Dollar Index advanced for the sixth time in seven days before the release today of private U.S. employment data. Bullion typically trades counter to the dollar.

The ADP Research Institute may say that private payrolls in the U.S. rose by 200,000 workers last month, after gaining 215,000 in November, according to the median estimate of economists compiled by Bloomberg. The Labor Department’s nonfarm payrolls data is scheduled for Jan. 10.

Silver for immediate delivery lost 0.3 percent to $19.8275 an ounce. Prices slumped 1.5 percent yesterday, the most since Dec. 30. Platinum and palladium were little changed at $1,414.66 an ounce and $741.20 an ounce respectively.

(Source: bloomberg)