Crude oil down on inventories report

Oil prices were higher on Wednesday after the weekly US inventories report from the Energy Information Agency produced results that surprised analysts and traders. While crude oil inventories had been expected to decline by 1.2 million barrels in the week ending April 20, they were up by 2.1 million barrels instead. Conversely, while analysts expected that gasoline inventories would grow by 200,000 barrels, they were down by 2.8 million barrels during the week, to their lowest level in a year and a half. Distillate stockpiles remained steady, with heating oil supplies down but diesel inventories higher in the week.

Brent crude for June delivery was up 96 cents to $68.12 on the Intercontiental Exchange in London, while June contracts for West Texas Intermediate crude added 56 cents to $65.14 by late morning on the New York Mercantile Exchange. Nymex gasoline added 3.26 cents to $2.2415 per gallon. Nymex heating oil was also higher, gaining 2.94 cents to $1.8754 per gallon, while natural gas prices dropped 2.1 cents to $7.577 per 1,000 cubic feet.

Gold prices fell again, for the third day in a row. Shortly after noon in New York, the precious metal was 20 cents lower to $687.50 per troy ounce for June contracts. Some analysts said that the main reason prices are dropping currently is the entry of a great deal of central bank gold into the market.

The price of July platinum was also lower, dropping $2.50 to $1,309 per troy ounce. Meanwhile, June palladium was $4 higher to $383 per troy ounce, while May silver gained 2.3 cents to trade at $13.805 per troy ounce.

Among base metals, May copper was 2.05 cents higher to $3.573 per pound.

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