Oil Prices Appear to be Stabilizing, Diesel Up: Crude Closes at $97.28
Oil prices dropped Thursday for the first time in nine days after the International Energy Agency said the rebellion in Libya may have cut oil production less than originally feare
Oil prices dropped Thursday for the first time in nine days after the International Energy Agency said the rebellion in Libya may have cut oil production less than originally feared
The Associated Press reports that The International Energy Agency said that the violent uprising in Libya has forced oil companies to idle between 500,000 and 750,000 barrels per day of production, or less than 1 percent of global daily oil consumption. IEA says it can make up for lost Libyan production by tapping into large surpluses held by member countries, including the U.S., the United Kingdom, France and Germany.
Benchmark West Texas Intermediate crude for April delivery fell 82 cents to settle at $97.28 on the New York Mercantile Exchange on Thursday. The contract had climbed as high as $103.41 per barrel earlier in the day.
That expensive crude is now making its way through the supply chain, prompting increases at the pumps. The national average price of diesel as posted by Pro-Mile rose nearly 4 cents on overnight to $3.64 per gallon, up from Thursday's reported $3.60
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