Prices lower for crude oil, precious metals

Crude oil prices fell Tuesday on reports from both the Energy Information Administration in the United States and the International Energy Agency, based in Paris, that oil consumption in the US and globally will fall this year., while the EIA said that oil production in the United States will likely rise this year for the first time since 1991.

West Texas Intermediate crude for May delivery were down 55 cents to $49.50 per barrel just before the close of floor trade on the New York Mercantile Exchange, while Brent crude dropped 29 cents to $51.85 per barrel on the ICE Futures Europe exchange in London.

Nymex May gasoline futures were down just over a cent to $1.44 per gallon in afternoon trade while heating oil was down less than a cent to $1.49 per gallon.

Precious metals prices were also lower, declining on remarks from Federal Reserve Chairman Ben Bernanke, who said that the economy might be beginning to declines less precipitously and after US President Barack Obama said that efforts by the government to stimulate the economy are beginning to have an effect, cutting demand for the metals as a substitute investment.

June gold was down $3.80 to $892 per troy ounce in New York while May silver was less than a cent lower to $12.77 per troy ounce and July platinum dropped $28.70 to $1,218.30 per troy ounce.

Meanwhile, copper was a cent lower to $2.13 per pound in New York, hurt by declines in New York equities markets, after being as high as $2.24 per pound in earlier trade on the possibility that stimulus spending in China will improve demand for copper there after data released last week showed copper imports into China were up in March.

Grains prices were mixed on the Chicago Board of Trade as May corn added 6 cents to $3.94 per bushel and May soybeans gained 14 cents to $10.36 per bushel but May wheat dropped a cent to $5.52 per bushel.

Story link: Prices lower for crude oil, precious metals