Commodities prices lower on session

Crude oil prices fell Wednesday on a new inventories report from the US Energy Information Administration and after the International Energy Agency cut their projection for oil demand this year based on concerns that US economic problems will cause demand there to decline.

February contracts for West Texas Intermediate crude dropped 85 cents to $91.05 per barrel just before the close of floor trade in New York while Brent crude for February delivery was down $1.72 to $89.26 per barrel on the ICE Futures Europe exchange in London.

Nymex February gasoline was 5 cents lower to $2.26 per gallon while March heating oil fell 1 cent to $2.52 per gallon and March natural gas dropped 7 cents to $8.06 per million British thermal units.

In its weekly US inventories report, the EIA said that 4.3 million barrels of crude oil were added to stockpiles in the week ending 11 January, while thee were 2.2 million more barrels of gasoline in stock and distillates gained 1.1 million barrels in storage.

Metals prices were almost all lower on the session.

Among precious metals, February gold dropped $21.10 to $881.50 per troy ounce in New York while March silver fell 41 cents to $15.89 per troy ounce.

Copper fell 7 cents to $3.17 per pound in New York, while three-month copper in London fell about $160 to a range around $6,990/$7,000 per tonne.

Zinc prices were also lower, closing $10 lower to $2,280 per tonne, while aluminium was down $13 to $2,470 per tonne, lead fell $55 to $2,600 per tonne and nickel dropped $500 to $28,400 per tonne.

Tin prices were higher on the session, adding $85 to $16,300 per tonne.

Grains prices were lower on demand worries based on US economic woes.

March corn on the Chicago Board of Trade was 6.25 cents lower to $5.02 per bushel while March soybeans fell 24.5 cents to $12.78 per bushel.

CBOT March wheat was 5 cents lower to $9.26 per bushel after falling its daily limit of 30 cents per bushel earlier in the day.

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