Metals prices fall as oil sees more gains

Crude oil prices were up again Monday as violence continued between Israel and Hamas, despite the fact that neither Israel or the Gaza Strip are major oil production sites, and after the contract dispute between Russia and the Ukraine reduced supplies of natural gas to some Eastern European nations.

February contracts for West Texas Intermediate crude added $2.47 to trade at $48.81 per barrel at the close of trade on the New York Mercantile Exchange, while Brent crude for February delivery was up $2.71 to $49.62 per barrel on the ICE Futures Europe exchange in London.

Nymex February gasoline added 7 cents to $1.18 per gallon in New York, while February heating oil gained 10 cents to $1.58 per gallon.

Most metals prices were lower.

February gold dropped $21.70 to $857.80 per troy ounce in New York trade while March silver dropped 22 cents to $11.27 per troy ounce and March palladium dropped to $184.95 per troy ounce but April platinum added $10.90 to $957.60 per troy ounce.

Copper for March delivery traded even in New York at $1.46 per pound, but in mid-afternoon trade in London it had dropped $95 to $3,136 per tonne after a report that London Metal Exchange inventories added 1,500 tonnes on the session to 342.050 tonnes, their highest level since 6 February 2004.

At the same time, aluminium fell $21.75 to $1,548.25 per tonne after stockpiles grew by 6,925 tonnes to 2.34 million tonnes.

Other base metals prices also fell.

Grains prices were mixed, with March wheat up 7 cents to $6.18 per bushel on the Chicago Board of Trade while CBOT January soybeans added 15 cents to $9.85 per bushel but March corn dropped a cent to $4.10 per bushel.

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