Oil prices rise on tensions

Crude oil prices were slightly higher Monday in light trade as some investors took the week off ahead of the US Labor Day holiday next weekend.

Prices advanced after a vote by Russia’s parliament to recognize the independence of two breakaway regions of Georgia, raising concerns that tensions in the region will continue, and on the news of the formation of a new tropical depression that could strengthen and threaten Gulf of Mexico oil facilities.

October contracts for West Texas Intermediate crude added 54 cents to $115.13 per barrel on the New York Mercantile Exchange, while Brent crude gained 35 cents to $114.27 per barrel on the ICE Futures Europe exchange in London, where trade was not affected by the UK’s bank holiday.

Precious metals prices were lower in New York, with December gold down $7.70 to $825.70 per troy ounce as December silver dropped 11 cents to $13.47 per troy ounce.

Prices for both silver and gold are now lower than they were at the beginning of the year.

Among base metals, December copper traded even at $3.46 per pound in New York in early afternoon trade, while it was a bit higher in early trade on the news that existing home sales were up 3.1 percent in the most recent data.

The London Metal Exchange was closed for the session.

Grains prices were mixed on the Chicago Board of Trade.

November soybeans were 20 cents higher to $13.47 per bushel, but December corn fell 6 cents to $6.00 per bushel and September wheat dropped 25 cents to $8.40 per bushel.

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