US home sales data helps oil prices higher

Crude oil prices rose a bit Tuesday after the National Association of Realtors said that pending sales of existing homes added 6. 3 percent in December, while the Organization of Petroleum Exporting Countries looks to be implementing as much as 67 percent of its promised 4.2 million barrels a day in production cuts.

However, worries about increasing joblessness in some of the biggest national consumers of oil and oil products, coupled with recent gains in US inventories pointed to more demand reductions, holding gains to minimal levels.

March contracts for West Texas Intermediate crude added 79 cents to $40.87 per barrel on the New York Mercantile Exchange while Brent crude for March delivery gained 32 cents to $44.14 per barrel on the ICE Futures Europe exchange in London.

Nymex March gasoline futures were around 2 cents lower to $1.13 per gallon during the session while March heating oil fell 2 cents to $1.32 per gallon and March natural gas dropped 7 cents to $4.49 per million British thermal units.

A new report from the National Association of Realtors reported that pending sales of existing home gained 6.3 percent in December, and data from the Institute for Supply Management on Monday which showed that US manufacturers saw new orders grow in January sent copper prices higher Tuesday.

March copper added 9 cents to $1.52 per pound in New York, while three-month copper added $200 to $3,375 per tonne in London in late afternoon trade there despite a gain of 4,100 tonnes in London Metal Exchange inventories during the session.

Other base metals prices were also up.

Aluminium gained $20 to $1,410 per tonne, zinc was up $63.50 to $1,177 per tonne, lead was $65 higher to $1,170 per tonne, nickel added $345 to $11,650 per tonne and tin gained $450 to $11,000 per tonne.

Among precious metals, meanwhile, April gold dropped $15.70 to $891.50 per troy ounce while March silver fell 12 cents to $12.30 per troy ounce and April platinum was down $15.60 to $963.50 per troy ounce.

Grains prices fell on the Chicago Board of Trade.

CBOT March corn was down 8 cents to $3.61 per bushel while March wheat fell 11 cents to $5.52 per bushel and March soybeans dropped 13 cents to $9.46 per bushel.

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